DAM has been implementing its Micro-Finance Programme (MFP) since 1993. At the time of inception, the programme was initiated as a supportive component of Education Programme by the project entitled “Institution Building for Income Generation”. The initial objective was the livelihood development through community mobilization, creation of grassroots organization, human resourcedevelopment, promotes agricultural diversification and ensure easy access to micro finance. Gradually it becomes as an independent program. Over the years, MFP increases its working area in different location of the country with diversified savings and credit products that includes savings, insurance, rural micro-credit, micro-enterprise development, agricultural extension, rural housing, water and sanitation, disaster risk reduction and special credit support for ultra poor. Presently Micro-Finance Programme becomes one of the core development programme of livelihood sector of DAM. According to DAM sectoral development strategy, Microfinance program focus on Financial Service, Skills Development Service, Agricultural Extension Service and Employment Support Service. In recent times, DAM has taken different steps to move ahead MFP for meeting up current requirement of MF market. Under the development process, DAM is going to automate its MF branches with microfinance software to provide efficient service to the clients. By this time, to provide agricultural extension loan of the government, DAM established five separate branches with the partnership of First Security Islami Bank Ltd. Moreover, DAM establishes three separate branches to provide Skills Development Training and Financial Services to undertake Income Generating Activities for the vulnerable groups through the project entitled “Vulnerable Group Development Project (VGDP)” with the support of Department of Women Affairs, Government of Peoples Republic of Bangladesh. At present, DAM has been Implementing MFP in 74upazillas of 18 Districts covering 267 unions and 1,240 villages through its 106 branches and serving 124,946 members of 7,142 groups.
The vision of DAM Foundation for Economic Development (DFED) is a society where people, particularly the disadvantaged segment, free from poverty, undergo a transformation process for fulfillment of basic rights in an atmosphere of improved socio-economic living condition.
DFED pursues a mission to create conditions for increased access of targeted people and communities to public and private services and enhance their capacities to maximally utilize the services particularly in the fields of socio-economic development and agriculture with gender and environment as a cross cutting theme.
- To address the needs of disadvantage households through financial and technical services in order that they may become self-reliant and contribute as the active citizens of Bangladesh.
- To plan, organize, manage and implement programs and projects in the fields of agriculture diversification, rural enterprise development, forestry, fishery, livestock and other innovative technology aided higher value added products and services.
- To provide support and training as may be necessary for the social and economic development of the beneficiaries so as to achieve their self-reliance and sustainable development.
- To provide aid and assistance to the people affected by natural calamities and disasters.
- To inform the DFED’s program beneficiaries about facilities and services available and provided by government, non-government organizations and private agencies and assist them in receiving these.
- To operate financial services of DFED based on Islamic Shariah and on terms and conditions as required under the law of the country.
Who the project will serve/is serving (gender disaggregated data if possible by category of recipients) : 374,748 no. of men and women (93%) will be serving the project.
Project Duration: From January 1993 to Present (ongoing program)
Start date: Dhaka Ahsania Mission (DAM) has started Microfinance Program in 1993. Then DAM Microfinance PKSF funded started in 1996.
Financial partner (Donor): PKSF (PKSF Loan Fund, Loan from Commercial Banks, Members Savings, Surplus, Organizational Fund)
Project Location/s and number of Field offices: Project locations are different areas such as Dhaka, Narayangonj, Munshigonj, Narsindi, Gazipur, Rajshahi, Khulna, Jessore, Satkhira, Jhenaidah, Magura, Chattogram, Patuakhali, Barguna, Panchogar, Thakurgoan, Mymensingh, Netrokona, Jamalpur, SunamgonjDistrict. Dhaka Ahsania Mission has 106 Branches Offices under PKSF fund in 18 districts.
Budget with annual breakup: In 2018-19, DFED extended micro-credit to its target HHs amounting to Tk. 3,201.38 million. Cumulative disbursement of micro-credit is Tk. 14,526.83 million and present outstanding of Tk. 1796.95 million. Beneficiaries invested the loan amount in a variety of demand driven loan products. The performance of loan recovery of the organization was good having Cumulative Recovery Rate (CRR) of 99.28 per cent.
Number of project staffs and volunteers: 667 no. of staffs of PKSF project and this project no volunteers.
Contact Person : Md. Asaduzzaman, CEO, DFED