Mohd. Rafat Ullah Khan, Managing Director & CEO of Al-Arafah Islami Bank PLC, outlines the bank’s dedicated approach to nurturing Bangladesh’s burgeoning entrepreneurial spirit. In this interview, he highlights the integration of Shariah-based financial solutions with modern digital tools. By focusing on youth, women, and rural inclusion, Chowdhury discusses how the bank is transforming micro-enterprises into sustainable industrial leaders, ensuring equitable growth across the nation.

The Daily Star (TDS): The theme “The Future Generation” — how is your bank adapting?

Mohd. Rafat Ullah Khan (MRUK): Next-generation entrepreneurs are technology-driven and innovation-led. We must evolve alongside them. We introduced dedicated financing like Tijara and NISA to address diverse needs. Our focus is on youth and women, helping them transform ideas into sustainable businesses and contribute meaningfully to the national economy by adapting to modern, tech-enabled business models.

TDS: How are you expanding collateral-free finance for micro businesses?

MRUK: Micro-entrepreneurs often lack traditional security. We address this with collateral-free products like Tijara and NISA, assessing business potential and cash flow instead. Our CMSME portfolio stands at BDT 10,963 crore, serving over 9,357 entrepreneurs, many of whom are first-time borrowers entering the formal system and were previously excluded from banking.

TDS: How do you ensure rural entrepreneurs receive equal banking access?

MRUK: Location shouldn’t determine opportunity. Through our branch network and agent banking, we provide tailored solutions for rural entrepreneurs. Our Rural Development Program (ARDP) supports low-income micro-entrepreneurs, helping them engage in income-generating activities. We ensure remote entrepreneurs receive the same growth opportunities as those in cities, strengthening local economies across the country.

TDS: How is your bank encouraging green and responsible financing?

MRUK: Sustainability is now a business necessity. We encourage clients to adopt energy-efficient technologies and responsible practices. Environmentally responsible businesses are more resilient and competitive. We integrate sustainability into core growth rather than treating it as a separate category, helping entrepreneurs prepare for future market requirements while protecting the environment for the next generation.

TDS: : What is the role of AI and digital tools?

MRUK: We are digitising processes to simplify applications and credit assessment. Digital tools reduce processing time and improve customer experience. Data-driven decision-making allows us to evaluate business performance and transaction behaviour more effectively. Our objective is to make finance faster and easier so entrepreneurs can focus on growing their businesses rather than navigating complex procedures