MetLife invests Tk 50cr in BRAC Bank’s social bond

MetLife Bangladesh has signed an agreement with BRAC Bank PLC under which the life insurer has invested Tk 50 crore in the country’s first-ever social bond issued by the bank, marking a significant milestone in sustainable financing in Bangladesh.

Ala Ahmad, chief executive officer of MetLife Bangladesh, and Tareq Refat Ullah Khan, managing director and CEO of BRAC Bank PLC, signed the agreement at the Sheraton Dhaka in the capital’s Banani yesterday, according to a press release.

Commenting on the investment, Ahmad said, “This investment reflects our commitment to supporting sustainable development in Bangladesh. By partnering with BRAC Bank on this landmark social bond, we aim to empower communities, promote financial inclusion and contribute to a resilient future.”

The proceeds from the social bond will be directed towards impactful sectors, including women-led micro, small and medium enterprises (MSMEs), affordable housing, healthcare, agriculture, and climate risk mitigation and resilience projects, aimed at fostering inclusive economic growth and social development.

BRAC Bank holds the distinction of being the highest-rated bank by leading local and international credit rating agencies. It has also secured the top position among Bangladeshi companies in the Bloomberg ESG rating, underscoring its commitment to environmental, social and governance excellence.

MetLife Bangladesh, the country’s leading life insurer with around one million individual customers and more than 900 corporate clients, continues to strengthen its investment portfolio.

In addition to being one of the largest investors in government bonds, MetLife is diversifying into secured corporate bonds to provide sustainable financing to local corporates while delivering improved returns on customers’ insurance policies.

With this latest investment, MetLife Bangladesh’s total investment portfolio now stands at approximately Tk 19,000 crore.