Finance Minister AMA Muhith has said micro finance institutions are expanding their activities gradually, focusing on creativity with an aim to advance the country to a new level.
Micro finance institutions have come out their common tendency of only microlending and focused on education, health and infrastructure development, the minister said while addressing a seminar titled “Enrich, a new approach to development: a paradigm shift”.
Muhith attended the programme as the chief guest which was held yesterday in the capital. The seminar was arranged by Palli Karma-Sahayak Foundation (PKSF) on the occasion of its 25th founding anniversary.
The finance minister said the main function of the micro finance institutions is to provide micro credit and some institutions also provide training along with offering credit facilities.
Grameen Bank entered into the market primarily with the philosophy of providing only micro credit, but BRAC identified itself in the market with a different philosophy. BRAC expanded its activities to education and health sectors along with offering micro credit.
PKSF was found as the competitor of Grameen Bank with an objective of lending micro finance but now it has expanded its programmes to other areas like poverty alleviation programme which is appreciable, said Muhith.
He said NGOs have shifted their activities from their common business tendency to creativity.
“We do not put up any bar to creativity and so communism did not take root in the country. That is why our economy was not affected by world recession,” he said.
PKSF Chairman Qazi Kholiquzzaman Ahmad said: “Around 2 crore people are still victim of poverty in our country and we need to alleviate poverty on sustainable basis.”
Presiding over the seminar, he said the main objective of NGOs is to provide service, not to do business.
If NGOs work in line with their commitment, the government will become NGO friendly, added Kholiquzzaman.
