by James Stevenson -

MICROCAPITAL BRIEF: Non-performing Loan (NPL) Ratios Up Among Microfinance Providers in Bangladesh

Bangladesh Bank, the country’s central bank, recently reported that the volume of non-performing loans (NPLs) in the domestic microcredit industry rose from BDT 45 billion (USD 412 million) in the fiscal year ending March 2021 (FY21) to

by Vaughn Rajah -

MICROFINANCE PAPER WRAP-UP: “Predictors of Microfinance Sustainability: Empirical Evidence from Bangladesh,” by Maeenuddin et al

This article examines the financial sustainability of microfinance institutions (MFIs) in Bangladesh. Using data from the MIX Market database, the authors develop a

by Vaughn Rajah -

MICROFINANCE PAPER WRAP-UP: “Green Energy Finance and Gender Disparity: The Case of Mountain Areas in Bangladesh,” by Sakib Bin Amin et al, Published by Copenhagen Business School

The authors of this study conducted a household-level analysis to examine the relationships among electricity access, green finance and gender disparity in the Chittagong Hill Tracts (CHT) of Bangladesh. Although access to electricity can

by Nithin Naren -

MICROCAPITAL BRIEF: Committee in Bangladesh Considering Cutting Microcredit Interest Rate Cap Below 24%

The Bangladeshi government recently convened a committee to “analyze cost of the MFIs’ [microfinance institutions’] services and to determine if there is any scope to reduce the charges” with a nationwide cap. The committee, which includes 11 representatives of government, industry and observers, is headed by

by Saulius Ramanauskas -

MICROCAPITAL BRIEF: UNCDF, Quizrr, Ulula, Wagely Supporting Financial, Digital Literacy for Garment Workers in Bangladesh

The UN Capital Development Fund (UNCDF) recently committed approximately USD 556,000 to support pilot training programs for workers in the Bangladeshi garment industry. The funding will pay for technical assistance and performance-based grants for three firms seeking to promote financial and digital literacy skills and hence financial and digital inclusion for 135,000 individuals working in the sector, mostly women. UNCDF’s implementing partners for the project are

by Adhya Singh -

MICROCAPITAL BRIEF: BFIU, IFC to Develop e-KYC Infrastructure to Expand Financial Inclusion in Bangladesh

The Bangladesh Financial Intelligence Unit (BFIU), a government agency responsible for preventing and investigating financial crimes, and the World Bank Group’s International Finance Corporation (IFC) recently agreed to collaborate to establish an electronic know-your-customer (e-KYC) system to “fast-track financial inclusion” in Bangladesh. By allowing financial services providers (FSPs) to compile and certify customer data online, the e-KYC system is expected to

by Nicholas Galimberti -

MICROCAPITAL BRIEF: Microfinance Holding Company ASA International to Trade on London Stock Exchange, Citigroup Coordinating IPO

ASA International, a microfinance holding company that owns and operates 12 microfinance institutions in Asia and Africa, is scheduled to become a Premium Listed company on the London Stock Exchange on July 13. The firm, which has offices in Bangladesh and the Netherlands, was co-founded by Md Shafiqual Haque Choudhury, the founder and President of ASA. ASA,

by Nicholas Galimberti -

MICROCAPITAL BRIEF: FMO Considering $10m Loan to Mutual Trust Bank (MTB) of Bangladesh for Trade Finance

The Netherlands Development Finance Company, a public-private bank also known by its Dutch acronym FMO, recently announced it is considering lending USD 10 million to Mutual Trust Bank (MTB) Limited, a privately owned commercial bank in Bangladesh. The funding would be for financing imports and exports

by Jared Junkin -

MICROFINANCE EVENT: Asian Venture Philanthropy Network (AVPN) Conference; June 4 – 7, 2018; Singapore

Summary of Event: This sixth iteration of this event centers on maximizing social impact in Asia through investing and philanthropy. The topics are to include “strategic philanthropy,” investing in education and healthcare, investing with a gender lens, government policy implications, and

by Kevin van den Brink -

MICROCAPITAL BRIEF: Bangladeshi Farmers to Receive Microloans via Credit Cards Arranged by CARE Bangladesh, DAM, mPower, USAID

The Agricultural Extension Support Activity (AESA) of the United States Agency for International Development (USAID), which is implemented by the Bangladesh-based nonprofit Dhaka Ahsania Mission (DAM), is piloting an initiative to provide smallholder farmers with loans via bank cards.

by Meghan Gillis -

MICROCAPITAL BRIEF: Bangladeshi Government Criticized for Proposal to Takeover or Split Grameen Bank

A working paper commissioned by the Bangladeshi government regarding Grameen Bank, a Bangladeshi microfinance institution founded by Nobel Laureate Dr Muhammad Yunus, proposes a government takeover of Grameen Bank or a split of the institution into 19 entities. The paper recommends that the Bangladeshi government own 51 percent of the shares of Grameen Bank, an increase from the current 25 percent.

by Meghan Gillis -

MICROCAPITAL BRIEF: Gemalto Provides Biometric Smart Cards for “Prime Cash” Branchless Banking in Bangladesh

Gemalto, a digital security company based in the Netherlands, has developed a smart card-based system for two Bangladeshi businesses: Prime Bank Limited, a commercial bank founded in 1995, and Dipon Consultancy Services Limited (DCSL), a member of the Bangladesh-based conglomerate Dipon Group. The system will support the branchless banking service known as Prime Cash, which was established by the two firms in 2012.