Grameen Fund (GF) is a Venture and Micro Enterprise finance institution, dedicated to promoting, managing, and financing enterprises that aim to create wealth and alleviate poverty in Bangladesh. GF's strategy lies in venture capital finance, especially in technology oriented industries. It also provides fixed and working capital loans to the microenterprises run by those emerging out of poverty. Since inception up to May, 2009 GF has invested equity worth $1.18 million in 13 joint ventures and financed 2,232 small business and microenterprises.(1 USD=70 Tk)
- GF's main thrust is on venture capital finance in innovative enterprises focusing in new
technology, environment conservation, and employment generation. GF prefers labor-intensive
manufacturing process and rural growth industries.
- Venture/ Equity Finance Scheme:
GF provides capital in the form of direct equity to risky and technology based innovative/new
projects sponsored by private entrepreneurs that bring direct or indirect benefits to the poor. It
also finances the ongoing companies of GF needing expansions, modernization and developing new
products of interest.
- Micro Enterprise Loan Scheme: Finances small and micro
industries/enterprises in manufacturing/marketing of various products, extends loans to rural
enterprises, provides working capital and fixed capital investment to on going as well as new small
scale industries. Financing small projects and microenterprises is one of GF's primary activities
with more than $3.27 million disbursed.
- Loan Financing: GF provides short-term and
long-term finances to its family members and equity-financed companies.
- Deposit Loan
Scheme: Non-member deposit holders at Grameen Bank branches can take this loan for investment
- Investments by Grameen Bank, as well as institutions such as Calvert Foundation
and The UAE-Bangladesh Investment Company Limited (UBICO) provide the lending capital to GF.
- Grameen Fund serves both rural and semi urban communities in forty two districts of Bangladesh.
Three-fifths of GF's clients live in rural communities and the remainder in semi urban communities.
All the borrowers are natives of Bangladesh and 98% are men.
- In FY 2008, Grameen Fund
distributed 231 micro enterprise loans for low and middle income-owned businesses, including 12 for
- During FY2008, 231 micro enterprise loans were disbursed for a total of US$ .036 million. This
includes 178 loans above BDT 50,000 and 53 small business loans. From the Calvert Foundation's
investment, approximately 9,008 jobs have been created till now. Sectors financed from microfinance
loans include agriculture, engineering, poultry, dairy, fishery, handicrafts, workshop, food
processing, service etc.
- Since inception up to May 2009, GF has distributed 2,232
microenterprise loans worth $3.27 million. Of the microenterprises and small businesses financed,
103 of them are minority-owned or controlled, 16 of them are women-owned or controlled and about
703 of them are low income-owned or controlled.
Mr. Bijoy Narayon Chokraborti saw an opportunity to expand his suburban marketplace in the Southern district of Noakhali. Once only selling plastic goods, he decided to begin manufacturing. By manufacturing a plastic piece used in industrial packaging, he became a major supplier to all of Bangladesh. Aided by a series of microenterprise loans from the Grameen Fund, this entrepreneur has been able to expand his business three-fold and provide jobs for ten people. Full Story