In a bid to foster sustainable development and bolster Environmental, Social, and Governance (ESG) practices in the banking sector, Aavishkaar Capital, a division of Aavishkaar Group, in collaboration with KfW, a renowned German state-owned development bank, has sealed a groundbreaking agreement. Under this pact, a substantial investment of $5 million from Aavishkaar Capital’s ESG First Fund is set to be infused into Midland Bank, marking a significant stride towards advancing responsible banking practices.
The agreement, inked at Midland Bank’s headquarters in Dhaka, Bangladesh, witnessed the convergence of Md Ahsan-uz Zaman, the Managing Director and CEO of Midland Bank, and Abhishek Mittal, a Partner at Aavishkaar Capital. This strategic alliance aims not only to provide vital financial support but also to elevate the ESG standards of the bank and its stakeholders. Addressing the importance of the collaboration, Zaman highlighted, “The infusion of funds will not only fortify the financial position of Midland Bank but also empower our clients to adopt and implement robust ESG practices.”
Markus Aschendorf, Director and Global Head of Division Equity and Funds at KfW, expressed optimism about the partnership. Midland Bank, supported by the on-lending portfolio established through this collaboration, is poised to set a benchmark for ESG compliance, showcasing tangible benefits of prioritizing sustainability. The ceremony was graced by the presence of key dignitaries, including Nazmul Karim, Country Head of Aavishkaar Capital, and Md Zahid Hossain, Deputy Managing Director of Midland Bank, alongside other senior executives from both organizations.
This strategic investment not only underscores the growing significance of ESG principles in the financial sector but also heralds a new era of collaboration aimed at driving sustainable growth and fostering responsible business practices. The partnership between Aavishkaar Capital, KfW, and Midland Bank symbolizes a concerted effort towards promoting sustainability and responsible banking practices. With this infusion of funds, Midland Bank is poised to embark on a transformative journey towards becoming a beacon of ESG compliance in the banking industry.
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