Islami Bank Bangladesh Limited is a multi-product financial institution operating on Islamic Shari'ah offering a broad spectrum of financial assistance to institutional and individual cltent though its 236 Branches and 30 SME Branches. Since its inception, tt has introduced several investment schemes to cater to the needs of SMEs keeping in view the needs of different sctors and various sections of people"for thier socio-economic uplift and to improve their quality of life.

Sectors

Under SME investment, the Bank invests from Tk. 2.0 lac to Tk. 50.0 lac in various manufacturing, trading and service concems. Sectors under Small Enterprises are :

• a) Manufacturing : Enterprises involving production process viz. food & agro-based, leather, ieitile, handlcrafts. pharmaceutical, engineering, electrical accessories, recycling enterpnses etc.
• b) Trading : Enterpnses involving purchase & sales, export and import etc.
• c) Service : Enterprise providing services to other persons/ organizations viz. telecommunication, transport, information technology, hotel-restaurants, workshop, etc.

Target Group

• Farmers having land holding of maximum 0.50 acres.
• Sharecroppers with consent from the landowners.
• Persons engaged in off-farm activities having no land or l6and up-to-maximum 0.50 acres.
• Persons/farmers permanently residing in the selected villages.
• Persons having derelict pond will be eligible for investment for re-excavation and fish cultivation.
• Destitute women and distressed people will be provided investment for milch cows/poultry birds/ducks/goats etc. and other suitable off-farm activities for raising their supplementary income.
• Persons having liabilities with other banks/institutions including defaulters will not be eligible for investment under the Scheme.

Centre Fund

Each member of the Group has to deposit minimum Tk.2.00 per week in the Centre Fund. This Fund is kept by opening a Mudaraba Savings Account in the name of the respective centre. This Fund is utilised for the welfare of the members by way of Quard as per decision of the Centre in the weekly meeting. This account is operated by Centre Leader & Deputy Centre Leader jointly. This fund is refundable.

Modes of Investment

No security is required against investment under the Scheme as entire Scheme has been drawn taking into account the social welfare objective of the Bank for upliftment of the socially down-trodden and economically backward and weaker section of the population of the society. However, Group discipline should be strictly followed and complied with so that only the right persons are selected and included as members of the Group.
Besides, each member of the Group gives personal guarantee for other members of the same Group and the members are jointly and severally liable and responsible for payment of investment.

Sanction and Disbursement

On the basis of the list submitted by the Field Officers, the Investment Committee of the Branch carefully scrutinises the applications and sanction the investment at the Branch level. The Investment Committee consists of Manager, Project Officer and the Field Officer. After sanction of the investment the Branch complete documentation formalities and then disburse the amount with the help of the Investment Officer and Field Officer. In all the cases Branch must ensure strict adherence to the banking and Shariah norms.