SBAC Bank Contributes to Startup Investment Fund

In a move aimed at strengthening the country’s innovation ecosystem, SBAC Bank PLC has transferred more than 2.58 crore taka to the national startup investment initiative established by Bangladesh Bank. The contribution forms part of the bank’s investable fund designed to support emerging technology-driven and innovative enterprises.

The cheque was formally handed over on Tuesday at the SME and Special Programmes Department of the central bank. Mr. Md. Rabiul Islam, Additional Managing Director of SBAC Bank PLC, presented the cheque to Mr. Nawshad Mostafa, Director of the department responsible for SME development and special programmes.

The fund is managed by Bangladesh Startup Investment Company PLC, an institution established by the central bank to encourage equity financing for startups and innovative ventures across the country. Through this initiative, commercial banks and financial institutions contribute a portion of their investable resources to support promising entrepreneurs who often struggle to access conventional financing.

Officials from both organisations attended the brief ceremony. Among them was Mr. Mohammad Abdul Mannan, Executive Vice President and Head of Credit at SBAC Bank PLC, along with several senior representatives from the central bank and the participating institutions.

The contribution reflects a broader effort by financial institutions to stimulate entrepreneurship, technological innovation and employment generation. Bangladesh Startup Investment Company PLC was created to address a long-standing financing gap in the startup sector, particularly for early-stage companies developing technology-based solutions. Unlike traditional lending models, the company focuses on equity investment, allowing startups to secure funding without the immediate burden of loan repayments.

Industry observers note that access to equity funding remains limited for many startups in Bangladesh. Early-stage ventures often face difficulties in securing collateral-backed loans from banks, which traditionally favour established businesses. The central bank’s initiative seeks to bridge this gap by pooling funds from multiple financial institutions and directing them towards innovative ventures with high growth potential.

Through such investments, the programme aims to foster a dynamic startup ecosystem capable of producing competitive technology firms, supporting digital transformation and creating new employment opportunities.

The participation of commercial banks like SBAC Bank PLC is considered crucial to the initiative’s success. By contributing to the national startup fund, banks are helping to expand financial access for entrepreneurs while also promoting innovation-led economic growth.

The following table summarises key details of the cheque handover event:

Officials expressed optimism that continued collaboration between banks and the central bank would help nurture a new generation of innovative businesses, ultimately contributing to sustainable economic development.