BII's $50 M to Bangladesh's BRAC Bank to support Women-led Businesses

By: GWL Team | Tuesday, 14 May 2024

A Development finance institution (DFI) and impact investor of UK, British International Investment (BII) has made an announcement for $50 million loan commitment to a leading SME bank in Bangladesh, BRAC Bank.

The funding is being provided in order to assist 3,500 micro-, small- and medium enterprises’ (MSMEs) growth along with women-led businesses, the bedrock of economy of Bangladesh.

The loan will also keep into address the financial gap for MSMEs while only 20% of the Bangladesh’s total loans go to this particular section.

Bangladesh’s British High Commissioner, Sarah Cooke stated, “I am delighted that the British International Investment (BII) is backing BRAC Bank to fund micro-, small- and medium enterprises and women-led businesses. This will enable small businesses and female entrepreneurs in Bangladesh to take up more economic opportunities and create more jobs. This investment reinforces the UK’s commitment to support inclusive and sustainable development in Bangladesh and is a great demonstration of the UK’s modern economic partnership with Bangladesh.”

In a calculation, Bangladesh has around 10 million MSMEs while only an 80% of the population is employed as well as responsible for half of the country’s industrial output.

Additionally, Country Director of Bangladesh at BII, Mohammad Rehan Rashid added, “We are proud to work with BRAC Bank again with a bigger mandate to support small businesses and women entrepreneurs in Bangladesh. Since we made our first investment in BRAC Bank in 2019, we have been looking to increase lending for inclusion in Bangladesh and with trusted partners like BRAC Bank, we can reach more people that need our support the most and are truly instrumental in driving the country’s progress and prosperity.”