Sunday, Oct 21, 2012
Dubai:
Probashi Kallyan Bank (Expatriate Welfare Bank), a Bangladeshi specialised financial institution, is planning to float shares in an initial public offering (IPO), exclusively to Bangladeshi expatriates, to raise more than 4.0 billion taka (Dh180 million), a top official said.
“Only non-resident Bangladeshis (NRBs) will be allowed to subscribe to these shares, as the bank has been established for their welfare,” C.M. Koyes Sami, Managing Director and CEO, of Probashi Kallyan Bank (PKB), told Gulf News.
“Since the Middle East has a high concentration of NRBs, we would focus there for share sale. We are also looking to open our operations in Dubai to start servicing our expatriates.”
The bank was set up by the government last year with paid-up capital of Tk1 billion and authorised capital of Tk5 billion to help reduce the cost of migration and support the eight million-strong non-resident Bangladeshi (NRB) spread across the world. They remit $12 billion (Dh44 billion) a year.
Sami said, his bank is currently looking at setting up of offices within the Bangladeshi diplomatic missions in countries where large number of NRBs live to promote its services.
“Dubai and Abu Dhabi are our first preference to kick-start the services,” he said.
The bank, which was incorporated in October 2010, started operating in April last year. Initially, it has been disbursing loans to Bangladeshis travelling abroad on new employment — against which, the bank offers up to 100,000 taka loan to reduce the high cost burden of immigration.
“NRBs could play a very important role in Bangladesh’s economy, if opportunities are created. Government-owned financial institutions such as PKB could play a vital role in expanding those opportunities — such as offer stocks, bonds, business and investment advisory services, introduce savings and insurance schemes that could ensure increased flow of foreign currency to our economy,” Syed Sharifur Rahman, CEO of SK Business Solutions — a Dhaka-based advisory — that is working on NRBs.
“The efforts of PKB have been long overdue.”
Poor unskilled Bangladeshis end up spending 250,000 to 300,000 taka in securing labour jobs in the Middle Eastern countries, which becomes difficult for them to recover in the initial three-year contract period. Most of the money change hands between manpower agents, sub agents and those involved in the ring.
However, PKB is working on to offer a number of investment package to NRBs — that includes mortgage on lands and apartments, shares in public sector undertakings when they are offloaded through IPOs, offering townships for NRBs and develop business parks for NRBs so that they could develop business ventures while returning and settling in the country.
Mohammad Kefayet Ullah, Deputy Managing Director of PKB, said, “There will be a number of investment and rehabilitation packages for returning expatriates who want to start business hassle-free. We will provide land, loans and advisory services to them, going forward so that they could utilise their expertise in Bangladesh.”
He said, his company is negotiating with a credible land developer to offer 15,000 plots of land to NRBs. “This is the beginning of many exciting developments that we are working on for our expatriates,” he added.
The bank is also setting up a 24X7 call centre to attend to the problems and grievances of NRBs worldwide and create a feedback system to help them in future.
By Saifur Rahman Business Editor
Gulf News 2012. All rights reserved.
