HSBC introduces Bangladesh’s first SLP-based financing

The Hongkong and Shanghai Banking Corporation (HSBC) in Bangladesh has introduced the country's first Social Loan Principles (SLP) based financing for Thengamara Mohila Sabuj Sangha (TMSS), one of the largest microfinance institutions in the country.

The bank recently signed an agreement with the micro-finance institution. Hosne Ara Begum, founder and executive director of TMSS, and Shaikh Md Salim, executive director of Bangladesh Bank Bogura office, exchanged signed documents of the deal, while Md Mahbub ur Rahman, chief executive officer of HSBC Bangladesh, was present, a press release said.

The SLP, published by Loan Market Association and Asia Pacific Loan Market Association, aims to facilitate and support economic activities targeting to mitigate social issues and challenges of the society.

"Bangladesh Bank highly emphasises agriculture, cottage, micro, small and medium enterprises, women entrepreneur, and green financing which are vital for having a sustainable economy and achieving Sustainable Development Goals. HSBC's Social Loan aligns with these priorities," Salim said.

"We are delighted to partner with HSBC to contribute to the social development of Bangladesh, and optimistic that this partnership will have a remarkable milestone for the country's development," Hosne Ara said.

"This is part of our global sustainability commitment," Mahbub ur Rahman said.