NRBC Bank's collateral-free loans aims to create entrepreneurs

NRBC Bank is providing financial services to support the development of disadvantaged communities in chars and haor areas, without requiring collateral, thereby assisting them in becoming entrepreneurs and improving their lifestyles.

Additionally, the fourth-generation private commercial bank in Bangladesh offers all kinds of banking services free of charge with a minimum account balance of Tk10.

As part of this initiative, 16 female small entrepreneurs were handed cheques for loans at a ceremony in Gaibandha today.

"The lender is working for the welfare of poor people in rural areas. All banking services are provided by simply opening an account for only Tk10," Parvez Tamal, chairman of NRBC Bank, said at the cheque handover ceremony.

"Small interest loans are provided without collateral to create employment opportunities for rural people. NRBC Bank has already provided loans to 88,000 small entrepreneurs across the country. The bank is reaching out to service-seekers in every household with banking services."

Each of the borrowers received a loan of Tk50,000.

At the programme, Bangladesh Bank Executive Director Abul Bashar said that by 2026, everyone in the country must be brought under the umbrella of financial services according to national policy guidelines.

"The Bangladesh Bank is working towards this goal, providing the opportunity to open accounts for only Tk10 without any complexity, and nearly 1 crore accounts have been opened," he asserted.

The senior central bank official said the commendable programme of distributing small loans without collateral in rural areas is being praised.

"NRBC Bank is working on the development and rural-centric management of people in the local areas. The bank's resources are being utilised for the development of villages and the advancement of women," he added.

He emphasised all banks have the opportunity to distribute loans from these resources. It is necessary to involve people in economic inclusion initiatives at the local level.

Mark Nosbach, chairman of CARE Bangladesh, said to develop villages, it is necessary to enhance the economic capacity of women, adding, "Simplifying financial access and inclusion is essential. Banks need to be more village-centric to uplift middle-income Bangladesh."

He praised NRBC Bank, saying its economic inclusion activities are contributing to savings and income-generating activities for rural people.

The event was also attended by Micro Finance Unit Head Md Ramjan Ali Bhuiyan.

A cheque handover ceremony was part of a daylong celebration organised in Gaibandha for the beneficiaries of CARE Bangladesh's Friendship Program. Four bank stalls, including NRBC Bank, were set up, and loans were distributed directly to customers.