AGAM International and SBK Foundation launch first sharia only digital microfinance product in Bangladesh

By Leandra Monteiro

UK FinTech, AGAM International and Bangladesh’s Micro Finance Institution, SBK Foundation, formally launch the first Sharia-based digital microcredit in Bangladesh.

The Sharia finance product is designed to help individuals and small businesses who need access to financial resources but may not have the collateral or credit history required for traditional loans. Providing Sharia microcredit to the Bangladeshi population will enable thousands of workers and entrepreneurs to apply for loans who would not previously been able to do so, making lending more inclusive. Demand for Sharia finance products in Bangladesh is increasing whilst Sharia finance has been inadequately supported by innovations in FinTech.

Speaking about the partnership with SBK, AGAM International’s founder and CEO, Shabnam Wazed, said, “Our provision of a Sharia digital microlending takes us a step further in achieving our mission of promoting financial inclusion in Bangladesh, especially among women and the gig-economy group. We are harnessing AI to transform traditional Sharia lending, making the process faster, efficient and fair.”

Under the partnership, SBK Foundation is able to draw on AGAM’s innovative credit scoring platform to enable financially underserved people to have access to finance, even when they lack a traditional credit history. AGAM’s AI-based behavioural analysis-backed credit scoring provides the SBK Foundation with the confidence to identify prospective borrowers and make accurate, speedy lending decisions enabling micro-entrepreneurs to create value.

Sonia Bashir Kabir, Founder & Vice-Chairman of SBK Foundation said, “We are thrilled to be partnering with AGAM International with whom SBK Foundation shares a common vision to empower marginalized communities with technology and affordable access to finance. Our relationship is focussed on harnessing AI to revolutionise lending for entrepreneurs and ‘gig’ economy workers – many of whom are women. This innovative partnership focuses on supporting factory workers, enabling them to access credit to purchase essential supplies and medication. We look forward to seeing the positive impact of our ongoing collaboration with AGAM International.”