Trust Bank ensures uninterrupted access to finance for peacekeepers

Ahsan Zaman Chowdhury, managing director & CEO of Trust Bank PLC. Sketch: TBS

At Trust Bank, our slogan says it all—a bank for financial inclusion. But it's more than just a tagline; it's the guiding principle behind everything we do.

We're committed to making banking accessible for everyone by blending traditional services with innovative outreach. A great example of this is our Total School Banking Campaign. In 2024 alone, this initiative reached more than 8,400 students across 79 branches, helping young minds develop healthy saving habits from an early age. With no minimum balance, free debit cards, and attractive interest rates, banking with us is made easy and rewarding for students.

Trust Bank also has a long-standing commitment to Bangladesh's defence personnel, including those serving in UN peacekeeping missions. While we're not part of the missions themselves, we play a crucial support role as their financial partner.

With 60% ownership by the Army Welfare Trust, our bond with the military community is both strong and deep-rooted. We offer a suite of financial services tailored to the unique needs of military personnel—dedicated bank accounts, secure and speedy remittance options, and priority banking services.

For peacekeepers stationed abroad, we ensure uninterrupted access to their finances. And when they return home, we're there to support their transition to civilian life through expert financial advice, smart investment options, and retirement planning.

At Trust Bank, we're proud to stand behind those who serve—off the battlefield, but always by their side.

Empowering savers through MFS

We're also proud of our collaboration with leading Mobile Financial Service (MFS) providers. Together, we've introduced Monthly and Weekly DPS options that customers can access directly through MFS apps. This brings structured saving tools to rural and underserved communities, where MFS coverage goes far beyond traditional branches.

Our products, like Trust Prantik and Trust Shufola target specific segments—supporting low-income individuals, micro-entrepreneurs, and green financing. These are not isolated initiatives; they are integral to our mission of ensuring banking services reach everyone, especially the underserved.

A new chapter in banking governance

The political transition in 2024 brought with it a new wave of scrutiny and accountability across the financial sector. As regulatory oversight sharpened, a surge in non-performing loans (NPLs) exposed previously hidden vulnerabilities. While the numbers may seem concerning, I see this as a much-needed turning point for the banking industry in Bangladesh.

Reforms are not a one-off event—they're a continuous journey. This heightened scrutiny pushes us to be more stringent, transparent, and cautious in how we operate. At Trust Bank, we've always prioritised compliance and the trust of our customers.

To address the NPL challenge, we've implemented clear strategies:

Enhanced monitoring of loan approvals and recoveries.

Deep due diligence.

Stronger internal governance.

We understand that NPLs don't just impact profitability—they disrupt liquidity, hinder investment, and challenge the broader economy. A coordinated effort among banks, regulators, and the government is critical. If left unchecked, NPLs could pose long-term risks to financial stability.

Strengthening our credit culture

Rising NPLs are a wake-up call for the industry. At Trust Bank, we've responded by doubling down on governance and risk management.

We've adopted a multi-layered approach, including regular asset quality assessments, simplified documentation, alternative collateral options and financial literacy and business training for clients.

With support from Bangladesh Bank and the Government, we're actively executing reforms that promote healthier credit culture and sustainable growth. Our focus remains on improving transparency, strengthening systems, and nurturing a risk-aware environment across all departments.

Fighting youth unemployment through entrepreneurship

Tackling youth unemployment—currently at 4.63%—is a national priority, and we're proud to be part of the solution. We believe that the CMSME sector holds the key to job creation, particularly for young people and women.

Our Trust Ekota product offers group loans to small-scale businesses, including those in the handloom and power loom sectors. As of now, we've disbursed over Tk535 crore to nearly 42,000 clients. Just in Q1 of 2025 alone, we've supported 76 more businesses with Tk47 crore in financing.

We're also empowering women through Trust Nondini. In 2024, we disbursed over Tk212 crore to 312 women-led enterprises and reached 31,646 clients through NGO partnerships. This year, we've already extended Tk21 crore to 77 women entrepreneurs.

With Prantik Fund creating 226 direct jobs and Trust Suchona offering collateral-free loans up to Tk50 lakh, we're breaking financial barriers for startups. These initiatives reflect our deep commitment to building a more inclusive and employment-rich economy.

Transforming remittances with technology 

Despite the decline of hundi, remittance transaction costs remain a barrier. We've tackled this head-on by leveraging technology and partnerships.

API integrations now enable real-time remittance disbursement, ensuring money reaches even the remotest parts of the country 24/7. Our competitive exchange rates and digital wallet integration have significantly improved convenience for both senders and recipients.

By promoting transparency, boosting financial literacy, and delivering consistently secure services, we're shifting customer behaviour away from informal channels. The remittance ecosystem is undergoing a transformation, and we are proud to lead that change.

Navigating the credit slowdown

The slowdown in credit demand is not just a cyclical hiccup—it reflects structural shifts driven by political transition and rising interest rates. In early 2025, private sector credit growth dipped to a 21-year low of 6.82%, and lending rates remained high at 14–15%.

Yes, this cautiousness is real—but I believe it's temporary. As businesses adapt to regulatory reforms and greater financial transparency, confidence will return. We are actively supporting our clients, especially CMSMEs and exporters, with strategies to realign their investment plans.

At Trust Bank, we're optimistic. With reforms taking root and macroeconomic clarity improving, I foresee a gradual rebound in private sector investment, especially in the manufacturing and technology sectors.

Digital banking: Our path forward

Digital banking is no longer a trend; it's a necessity. It allows customers to manage accounts, make payments, and access services anytime, anywhere. But while the benefits are clear, we must also address challenges such as digital literacy, cybersecurity, and smartphone penetration.

Our roadmap includes expanding digital payment ecosystems, promoting paperless banking, automating utility bill payments, reaching unbanked populations digitally and strengthening digital security.

Digital banking isn't just about convenience. It's about inclusion. With the right tools and commitment, we aim to reduce the financial access gap and redefine banking for a digital-first generation.