The Palli Karma-Sahayak Foundation (PKSF) has signed credit guarantee agreements worth Tk 28 billion with 11 banks and one financial institution to improve access to finance for small entrepreneurs and low-income communities.

The agreements were signed under PKSF’s Credit Enhancement Scheme (CES), enabling participating banks and the financial institution to disburse guaranteed loans totaling Tk 28 billion during the 2026–27 fiscal year through PKSF’s partner organizations.

The signing ceremony was held at PKSF Bhaban-1 in Agargaon, Dhaka. The agreements were signed by Muhammad Hasan Khaled, Deputy Managing Director of PKSF, and the managing directors or deputy managing directors of the participating financial institutions.

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).

Speaking at the event, PKSF Managing Director Md. Fazlul Kader said the scheme was introduced to formally engage commercial banks in PKSF’s initiative to transform low-income people into entrepreneurs.

Under the scheme, partner organizations of PKSF will borrow funds from the participating banks and distribute the loans directly to grassroots micro and small entrepreneurs. PKSF will provide the required credit guarantees while closely monitoring the proper use of the loans.

Fazlul Kader expressed hope that the initiative would channel banking sector funds directly to small and medium entrepreneurs and marginalized communities, contributing to inclusive and equitable economic growth.

The Credit Enhancement Scheme was officially launched on July 1, 2025. During its first year, agreements were signed with 10 banks and one financial company. Of those, six banks and one financial company have already disbursed Tk 10.82 billion through 26 PKSF partner organizations.