The Palli Karma-Sahayak Foundation (PKSF) on Monday 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 2,800 crore for small enterprise financing in the 2026-27 fiscal year.
The participating institutions are BRAC Bank, City Bank, Prime Bank, NCC Bank, Trust Bank, Southeast Bank, Mercantile Bank, Commercial Bank of Ceylon, Dhaka Bank, Madhumati Bank, Shimanto Bank and The UAE-Bangladesh Investment Company Limited (UBICO).
Under the agreements, the banks and the financial company will provide guaranteed loans of up to Tk 2,800 crore to PKSF’s partner organisations, which will then disburse the funds to small entrepreneurs as part of their microenterprise financing programmes.
Speaking at the signing ceremony held at PKSF Bhaban-1 in Agargaon, PKSF Managing Director Md Fazlul Kader said the scheme was introduced to formally engage commercial banks in the organisation’s efforts to transform low-income people into entrepreneurs.
“Under this scheme, PKSF’s partner organisations will borrow funds from banks and distribute them among small entrepreneurs, while PKSF will provide the credit guarantee,” he said.
Kader said PKSF’s close monitoring will ensure the proper utilisation of the loans.
He added that the Credit Enhancement Scheme will play an important role in channelling banking sector funds to small and medium entrepreneurs and marginalised communities, helping promote inclusive and equitable economic growth.
The agreements were signed on behalf of PKSF by Deputy Managing Director Muhammad Hasan Khaled, while the participating banks and financial institution were represented by their respective managing directors or deputy managing directors.
PKSF formally launched the Credit Enhancement Scheme on July 1, 2025.
During its first year of implementation, 10 banks and one financial institution joined the scheme. Of them, six banks and one financial company disbursed loans amounting to Tk 1,082 crore to 26 PKSF partner organisations for financing small enterprises.