Ansar-VDP Unnayan Bank fails to deliver

Ansar-VDP Unnayan Bank, created two decades ago with the aim of distributing micro-credit especially among the members of the auxiliary security force, is limping as the supposed borrowers either do not know of the bank's existence or are not interested to use its services.
The bank is authorized to disburse small credit to people outside the Ansar-Village Defence Party members but poor public relations may be one of the reasons for the bank's poor performance in this regard so far.
Sources in the bank said so far credit disbursement has been poor with only around 20 per cent of Ansar-VDP members having taken small loans. "The bank has failed to acquire a popular image outside the Ansar-VDP," sources told the Daily Observer.
Ansar-VDP bank operates 239 branches across the country, including 40 branches opened in the last two years. "But still its overall operation is limping," said sources.
The sources said the bank should step up PR efforts at the Thana and lower levels where micro-credit is rising fast to boost businesses.
Mohammad Shams-ul Islam, Managing Director of Agrani Bank, former managing director of Ansar-VDP Unnayan Bank, however, told the Daily Observer, the Ansar-VDP bank has "the highest" recovery of disbursed loans. "It's a profitable bank with incomes rising every year."
He said, Bangladesh have 68,000 villages, 46 Ansar-VDP personnel (23 men and 23 women) live in each village. They are entitled to seek micro-credit from the bank. Side by side, this bank is offering credit to Small and Medium Entrepreneurs (SMEs). The Ansar-VDP members can be engaged in promoting the bank's clientele among the SMEs.
The Ansar-VDP Unnayan Bank, a government-owned specialized bank, was established in 1995 as per a law promulgated by parliament with a view to ameliorating economic condition of Ansar and VDP members. Around 0.6 million Ansar-VDP members are direct beneficiaries of the bank. The bank started its operation on January 10 in 1996.
The main objectives of this bank are to alleviate poverty of the marginal Ansar-VDP members in particular, women empowerment and economic well-being by providing banking services to the large number of Ansar-VDP members through 239 branches and 18 regional offices spreading in every nook and corner of the country. The bank is providing innovative and personalized banking services to the Ansar-VDP members of the country.