DreamStart Labs and BRAC Bank are to provide digital financial services to unbanked women in Bangladesh.
The two have agreed that BRAC will use technology from DreamStart to help women in rural communities access affordable small business loans.
DreamStart is a fintech for emerging markets and BRAC is a leading commercial bank in Bangladesh.
With a population of 168 million, Bangladesh is the eighth largest market in the world, with the world’s second fastest growing economy.
According to the World Bank, nearly half of all adults in Bangladesh remain unbanked with little or no access to formal financial services.
Through this alliance, unbanked women in Bangladesh will use the award-winning DreamSave app from DreamStart Labs to create informal community savings groups. As members use DreamSave, the technology will generate data-driven credit scores that make it easy for BRAC Bank and its microfinance institution (MFI) partners to offer digital financial services with greater security, transparency, and efficiency.
Use of the DreamSave app will facilitate BRAC Bank’s expansion of its MFI business portfolio in Bangladesh.
BRAC Bank and DreamStart Labs will begin by expanding use of the DreamSave app with savings groups under the USAID-funded Nobo Jatra project, implemented by World Vision in southwest Bangladesh.
“DreamStart Labs offers market-leading innovation from Silicon Valley to help unbanked women break the cycle of poverty,” said Syed Abdul Momen, Deputy Managing Director & Head of SME Banking for BRAC Bank. “BRAC Bank is pleased to partner with DreamStart Labs for this important initiative.”