The fund will support the economic recovery of small entrepreneurs who have been hit hard during the pandemic, said CEO of SAJIDA Foundation
SAJIDA Foundation, a non-government organization, has received a USD 7.5 million fund from FMO, the Dutch entrepreneurial development bank, through its government fund MASSIF.
SAJIDA will use this facility to expand its microcredit program.
The agreement was executed on December 14, 2020 after receiving approval from Bangladesh Bank and Microcredit Regulatory Authority and will remain effective till September 2025.
Huib-Jan de Ruijter, chief investment officer of FMO, said: “We are happy to partner with Sajida Foundation. Sajida offers vast array of social development programs.
“Its mission to improve the quality of life in the communities where we work through sustainable and effective intervention resonates with our objectives of reducing inequalities and sustainable development. We are proud to work together to make a difference in the microfinance sector in Bangladesh.’’
Zahida Fizza Kabir, CEO of SAJIDA Foundation, said: “This pioneering partnership with a leading development financial institution, is part of a strategy to diversify our fund portfolio and to support the economic recovery of small entrepreneurs who have been hit hard during the pandemic.
“We are focused on delivering an effective program which will enable the sector to emerge stronger.”
As a leading impact investor, FMO supports sustainable private sector growth in developing countries and emerging markets by investing in ambitious projects and entrepreneurs.
It believes that a strong private sector leads to economic and social development and has a 50-year proven track-record of empowering people to employ their skills and improve their quality of life.
FMO focuses on three sectors that have high development impact -- financial institutions, energy, and agribusiness, food and water. With a committed portfolio of EUR 10.4 billion spanning over 80 countries, FMO is one of the larger bilateral private sector developments banks globally.
SAJIDA Foundation is established Bangladesh in 1993 by Mr Syed Humayun Kabir with the aim to ensure health, happiness and dignity for all.
The NGO embodies the principle of corporate philanthropy with 51% shareholding at Renata Limited, a leading pharmaceutical company.
SAJIDA operates in 26 districts and serves six million clients through a diverse portfolio of financial products and services, multi-sectoral development programs with a key focus on healthcare and strategically positioned social enterprises.