PKSF disburses Tk 2,500cr to cottage and micro entrepreneurs

PKSF has disbursed Tk 2,500 crore to 101 partner organisations (POs) under its Special Fund for Creating Entrepreneurs in the Cottage and Micro Sectors (SOPAN) programme, supported by an incentive package from Bangladesh Bank.

Around 50,000 small entrepreneurs have received loans totalling Tk 1,416 crore from the fund, with women accounting for 87 per cent of the beneficiaries. PKSF received the first tranche of Tk 1,250 crore from Bangladesh Bank on September 7, says a press release. 

Under the SOPAN programme, loans are being disbursed across all 64 districts in four sub-sectors: technology-driven agriculture and agro-processing, manufacturing, services, and value chain financing. The programme supports the creation of new entrepreneurs and expansion of existing microenterprises by financing production, processing and marketing activities.

It aims to create entrepreneurs among rural and marginalised communities, economically empower women and young people, strengthen the rural economy, expand small businesses and generate employment through agricultural and non-agricultural microenterprises. It also focuses on developing forward and backward linkages in the value chains of these enterprises to create further employment opportunities.

To achieve these objectives, Bangladesh Bank is providing PKSF with a special incentive package of Tk 5,000 crore. PKSF has already received Tk 3,750 crore in three tranches, with the remaining amount expected by December. The entire fund is scheduled to be disbursed among entrepreneurs at the field level by January 2027.