Oxfam and the SME Foundation have signed a memorandum of understanding (MoU) to increase financial inclusion for Bangladesh’s small and medium-sized firms (SMEs). The deal was signed at the SME Foundation’s office in Agargaon, Dhaka, according to a press release.
The alliance aims to strengthen the country’s SMEs by improving access to financial resources and support.
Prof Dr Md Masudur Rahman, chairman of the SME Foundation, and Ashish Damle, Oxfam’s national director in Bangladesh, signed the agreement on behalf of their institutions.
According to the Bangladesh Bureau of Statistics (BBS), there are around 7.8 million SMEs in Bangladesh, which account for 25 per cent of the entire labour force and 80 per cent of industrial employment.
Md Masudur Rahman expressed hope about the cooperation, adding, “By collaborating with Oxfam, we will provide comprehensive support to SMEs, assisting them in overcoming financial barriers and achieving long-term success.”
Oxfam Country Director Ashish Damle stated, “SMEs play an important role in eliminating poverty and driving economic growth in Bangladesh. Through this collaboration, we hope to establish an enabling environment for SMEs, particularly those led by young entrepreneurs, women, and marginalised populations. Our combined efforts will result in a more inclusive and resilient economy.”
This effort seeks to improve SMEs’ transparency and traceability, thereby making them more appealing to commercial lenders. A major focus will be on developing and testing youth-inclusive financial business models.
