PKSF signs credit guarantee deals with 11 banks, 1 NBFI

Palli Karma-Sahayak Foundation (PKSF) has signed 12 separate credit guarantee agreements with 11 commercial banks and one financial institution under its Credit Enhancement Scheme (CES), enabling guaranteed loans worth Tk 28 billion for microenterprise financing during the 2026-27 fiscal year.

Under the agreements, the participating banks and financial institution will be able to extend a combined Tk 28 billion in guaranteed loans to PKSF's partner organisations, which will in turn channel the funds to microentrepreneurs across the country.

The participating institutions are BRAC Bank PLC, City Bank PLC, Prime Bank PLC, NCC Bank PLC, Trust Bank PLC, Southeast Bank PLC, Mercantile Bank PLC, Commercial Bank of Ceylon PLC, Dhaka Bank PLC, Madhumati Bank PLC, Shimanto Bank PLC, and The UAE-Bangladesh Investment Company Limited (UBICO).

Speaking at the signing ceremony held at PKSF Bhaban-1 in Agargaon, PKSF Managing Director Md Fazlul Kader said the scheme had been introduced to formally engage commercial banks in PKSF's efforts to transform low-income people into entrepreneurs.

He said PKSF's partner organisations would obtain loans from commercial banks and disburse the funds among microentrepreneurs, while PKSF would provide guarantees against the loans.

The agreements were signed on behalf of PKSF by Muhammad Hasan Khaled, Deputy Managing Director, while the managing directors and deputy managing directors of the respective banks and financial institution signed on behalf of their organisations.

The Credit Enhancement Scheme was formally launched on 1 July 2025. During its first year, PKSF signed agreements with 10 banks and one financial institution.

Of those participants, six banks and one financial institution disbursed a total of Tk 10.82 billion in loans to 26 PKSF partner organisations for financing microenterprises.

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