Beyond Collateral: A Roadmap for MSME

Ahsan Zaman Chowdhury
Managing Director & CEO
Trust Bank PLC

As Bangladesh’s MSMEs shift toward digital and global integration, Trust Bank is upgrading its digital ecosystem and enhancing entrepreneurial skills to bring marginal businesses into mainstream banking. Through fintech partnerships and digital training, we are committed to empowering entrepreneurs to navigate future challenges and integrate into global value chains.

As Bangladesh celebrates MSME Day 2026 under the theme “The Future Generation of MSMEs,” Trust Bank PLC is leading a shift from traditional banking to a tech-driven, inclusive financial ecosystem. By embracing data-driven credit scoring, collateral-free lending for the unbanked, and dedicated support for women and youth, the bank is ensuring that even the most marginal entrepreneurs can compete in a digital global economy.

The Daily Star (TDS): The theme for MSME Day 2026 is “The Future Generation of MSMEs.” How is your bank changing its plans to support this new group of young and modern entrepreneurs?

Ahsan Zaman Chowdhury (AZC): Aligning with the “Future Generation” theme, Trust Bank is shifting from traditional banking to data-driven, cash-flow-based financing. We support tech entrepreneurs and freelancers with 4% concessional loans under the ‘Startup Refinance’ scheme, complemented by mentorship and financial literacy via our dedicated ‘SME Desk.’ Our goal is to build a digital-first ecosystem that integrates youth into the global economy. Trust Bank remains fully committed to delivering smart, inclusive banking solutions that integrate our youth into the global digital economy and build a robust CMSME ecosystem.

TDS: What new methods are you using to provide loans without requiring security (collateral), and are these reaching people who have never had a bank account before?

AZC: To facilitate collateral-free lending to cottage and micro-entrepreneurs, Trust Bank has introduced a specialised loan product called “Trust Prantik.” This facility offers fully collateral-free loans ranging from BDT 25,000 to BDT 500,000, backed by the central bank’s Credit Guarantee Scheme (CGS) when required.

TDS: This year focuses heavily on youth and women. What special loan packages or services do you offer to help young entrepreneurs and women grow their businesses?

AZC: Trust Bank supports women through “Trust Nandini”(low-interest) and “Trust Suchana”(partially secured) loans. For young entrepreneurs, we provide start-up financing and are launching digital, fast-track approval systems to minimise turnaround times and accelerate growth. For young and aspiring entrepreneurs, we offer targeted start-up loans and are in the process of introducing digital loan processing and fast-track approval systems.

TDS: How is your bank encouraging “Green” businesses or those that focus on protecting the environment and being socially responsible?

AZC: Trust Bank’s Sustainable Finance Unit prioritises green initiatives like renewable energy and organic farming through low-cost refinance funds. By applying strict ESG criteria to all credit evaluations, we have earned Bangladesh Bank’s Sustainable Finance Award twice, solidifying green banking as a core strategic priority.

TDS: How are you using AI and digital tools to make it faster and easier for small business owners to apply for and receive their loan money?

AZC: Currently, small business owners can seamlessly access online loan applications and e-KYC facilities through our mobile app and internet banking platforms. Going forward, we are highly optimistic about introducing AI and machine learning-based credit scoring systems in the near future.