Financial inclusion in Bangladesh is considered strong compared to other countries in the region, with currently around 77% of the population of 165 million people having access to basic financial services. However, there are still rural pockets in the country where many households and small businesses have no or limited access to finance. Thengamara Mohila Sabui Sangha (TMSS) fills this gap.

TMSS distinguishes itself in the microfinance sector in Bangladesh by its integrated holistic HEM approach, which stands for Health, Education and Microfinance. This means that TMSS also provides training programmes on health awareness, (financial) literacy, and basic management. With this holistic approach TMSS enables their clients to develop their skills and their full potential.

The financial products the institution offers range from loans, savings and life and livestock insurance. Loan sizes are relatively small; households typically take out a loan that range from USD 60 to 800 while loans for micro, small and medium-sized enterprises range from USD 900 tot USD 12,000. Many clients start with a small loan and then ‘graduate’ to bigger loans.      

TMSS works with a nationwide network of close to 1,000 branches and has the strongest branch presence of all microfinance institutions in the hilly areas. It has grown significantly in the past years, making it the fourth largest microfinance institution in the country.

Senior Investment Officer Constant Tilman: “We strongly believe that TMSS’ integrated approach will contribute to the empowerment and resilience of many women. With our investment we want to support TMSS in further increasing its outreach. Also, this investment marks a re-entering of our financial inclusion funds into Bangladesh.”     

 The transaction was arranged by The City Bank in Dhaka, Bangladesh.