Polli Karma Sohayak Foundation/ Rural Employment Facilitation Foundation (PKSF) recently published its report. The report attached with audited accounts of last year and names of 214 partner organizations countrywide. Accountabilities wise they tried best possible transparency. Graphical representations are in simple and easily understandable for readers, even Bengali report is easy understandable to the field workers.
There is a quiet but profound development unfolding across Bangladesh one that has not come from flashy donor conferences or imported consultancy firms, but from the grassroots institutions that have grown steadily, persistently, and with purpose. PKSF, through its wide network of 214 partner organizations, now reaches over 20 million poor families more than two-thirds of the country's population. That more than 90% of these beneficiaries are women is not just a statistic; it is a testament to the transformative power of inclusive finance in the hands of the marginalized.
The figures speak volumes. These group members have accumulated savings of BDT 282.74 billion. PKSF itself has disbursed BDT 1,151.23 billion, with a loan outstanding of BDT 713.58 billion when the contributions from partner organizations are added. These are not just numbers; they are signs of a maturing and deeply rooted financial inclusion movement, managed and led entirely by Bangladeshi institutions and professionals.
In his message, PKSF Chairman Zakir Ahmed Khan has rightly called attention to the underserved southern belt of the country a region that still lacks adequate institutional presence despite having acute poverty and vulnerability. His emphasis on AI and digitization is not just about keeping pace with the times but about ensuring that the delivery of services is faster, more secure, and more transparent. Managing Director Md. Fazlul Kader's focus on youth employment and climate-smart innovation adds an important forward-looking dimension, especially in a country where the demographic dividend is ticking and climate change remains an existential threat.
The report outlines a comprehensive strategy six loan packages, six climate resilience projects, six micro-enterprise projects, alongside specialized programs on ultra-poverty, water and sanitation, holistic development, and innovation. This isn't a scattershot approach; it is a deliberate attempt to address poverty in all its interlocking dimensions.
Having worked with COAST Trust, a partner of PKSF operating in coastal areas, I can personally attest to the foundation's dedication to institutional development. Their support in accounting, internal controls, and leadership training has helped build MFIs that are not just financially sound, but socially responsive. Many PKSF-partnered MFIs are no longer just microfinance providers. They offer health services, education, disaster preparedness, skill-building, and even promote community media and integrated agriculture. All this is made possible not by donor dependency, but through the surplus generated from sustainable operations.
But in the midst of this success, there are fault lines that must be acknowledged and addressed not to criticize, but to improve. First, there is the issue of overlapping memberships. In many places, borrowers are part of four or five NGOs, trying to piece together enough credit to meet their needs. While this shows how desperately people require capital, it also risks creating a cycle of indebtedness and financial fragility. Are we empowering the poor, or merely stretching their capacity to repay?
Second, there is a growing trend of salary competition among MFIs, particularly at senior levels. This raises concerns about mission drift. Microfinance, at its core, is a social movement not a corporate ladder. When leadership is motivated primarily by financial incentives, the burden often falls on field workers who are pressured to meet unrealistic disbursement and recovery targets. This kind of drift threatens the very ethos of the sector.
Third, and perhaps most critical, is the issue of transparency at the field level. Field staff tasked with both disbursement and collection are often left vulnerable to misappropriation, whether by temptation or by necessity. Here lies a clear opportunity: move toward cashless, digital transactions using Mobile Financial Services (MFS). But the current market solutions are expensive and not tailored for the poor. What we need is a low-cost, dedicated digital payment system designed specifically for microfinance clients not just to protect them, but to empower them.
It is also worth noting that a dozen MFIs have built their own software systems independently, often duplicating the same functions. Better coordination perhaps led by PKSF or MRA could save resources and create sector-wide efficiency. Fragmentation of technology serves no one, least of all the borrowers.
The regulatory environment, fortunately, has matured. The Microcredit Regulatory Authority (MRA), under Bangladesh Bank, has established clear standards for governance, asset management, and client protection. Its pioneering work in digitization has been acknowledged at the national level, and rightly so. But the sector now requires a second wave of reforms ones that go deeper into borrower wellbeing, debt management, and technology access.
From a management perspective, one cannot help but admire how PKSF and its partners have built something resilient, impactful, and largely homegrown. These are organizations that do not depend on external consultants, yet manage to implement 10 to 15 donor-funded projects at any given time. They deliver one-stop services, innovate constantly, and retain committed staff. PKSF is one of only two institutions in Bangladesh recognized by the Green Climate Fund as a direct access entity. That alone should tell us something about its institutional strength.
So, as we read the latest PKSF report, let us not treat it as just another publication. It is a reflection of what is possible when vision, integrity, and commitment come together in service of the people. Let us celebrate its success, but also learn from its evolution to build not just a poverty-free Bangladesh, but a just and inclusive one.
The writer is a contributor
