Highlights & Achievements
Since its inception, the SouthAsia Enterprise Development Facility (SEDF) has made a significant impact to enhance the development of Small and Medium Enterprises (SMEs) in its target markets. The key results of each program area are highlighted below. The program pages can be viewed for more information on SEDF projects and activities.
Access to Finance
The Access to Finance (ATF) program has partnerships with nine financial institutions in Bangladesh with the objective of developing their capacity to lend to SMEs. In collaboration with Bangladesh's central bank, ATF is also providing training in five core risk areas to officials of the local private and nationalized commercial banks of Bangladesh.
Key Results in Bangladesh
- Nine Partner Financial Institutions (six banks and three non-bank financial institutions)
- SME finance increased in FY04 by US$ 52 million (38% growth)
- The number of SMEs financed through Partner Financial Institutions is over 10,000
- Dedicated staff for SMEs at Partner Financial Institutions has increased by 145%
- The average loan processing cycle for SME loans decreased by 11% (3 days).
Sector Development and Business Services
The Sector Development and Business Services (SDBS) program follows the sub-sector model and looks at the supply chain, value chain, linkages and management development. Baseline data at various stages of the value chain have been collected and all the results of various interventions are compared to this data. SDBS focuses on four major sub-sectors: information technology (IT), ready made garments (RMG), light engineering sector (LES) and agri-business. The sector work is complemented by business linkages and management development projects.
Sectors |
Key results of interventions through service providers |
Readymade Garments |
Productivity improvement, merchandising and the capacity development of local service providers. |
Light Engineering |
Foundry, machine shops, re-furbishing, and a private sector led common service facility. |
| Information Technology |
Software development focusing on export markets. |
Agri-Business |
Export market certification, supply chain management of various agribusinesses, etc. |
Business Enabling Environment
The Business Enabling Environment (BEE) program approach is top-down, where constraints are identified through various studies, and interventions are undertaken to address them. The aim of BEE is to assist in creating a macro-conducive environment in which SMEs can become more competitive.
Key results
- SEDF interventions have resulted in a reduction in the processing time of company registration in Bangladesh from 30 to 16 days. Other related project outputs include a Registration Kit, a billboard highlighting the registration procedure at the Office of the Registrar of Joint Stock Companies and Firms, and an animation film on TV.
- A project to computerize and automate the Office of the Registrar of Joint Stock Companies and Firms of Bangladesh is underway, which will enable faster registration processing and online registration.
- SEDF has commissioned studies on Non-Tariff Barriers (NTBs) and trade finance constraints between North East India (NEI) and Bangladesh. SEDF has also formed an NEI Core Group of influential persons from the two countries, and has helped to influence the reduction of cost and time required to open letters of credit for trade between these countries.
- An Entrepreneurs Guide to Regulatory Processes was developed and distributed to business organizations and government agencies in Bangladesh.
- A three-fold increase in service delivery to women entrepreneurs by women business associations and an increase in sales by US$1.5 million of women-owned SMEs in Bangladesh.
