Karmasangsthan Bank

Name

Karmasangsthan Bank

Legal name

Karmasangsthan Bank (কর্মসংস্থান ব্যাংক)

Website

https://kb.gov.bd

Company type

Private

Founded year

1998

Operating status

Operating

Headcount range

501–1,000 employees

Ownership category

akta.pro rank

Product category

Specialized Government Banking (Employment Generation Lending)

NAICS

Depository Credit Intermediation (5221)

SIC

Functions Related To Depository Banking, Nec (6099), State Commercial Banks (6022), Short-Term Business Credit Institutions (6153)

akta.pro primary industry

SBA/Government-Backed & Development Finance Loans (FSAKAGAI)

Keywords

• Employment generation loans
• Micro enterprise financing
• Government specialized banking
• Self-employment credit
• Savings deposit schemes

Headquarters

HQ city

Dhaka

HQ country

Bangladesh

HQ region

Asia

Offices1 record

Markets served

GTM type

B2C

Offering type

Services

Cost components

Personnel, Operations, Infrastructure, Technology or R&D, Marketing or Sales

Revenue model

1. Interest Income on Loans: The primary revenue stream is interest charged on disbursed loans across various programs including self-owned loan programs and government/Bangladesh Bank special programs. Interest rates range from 3% to 9% depending on the loan scheme.
2. Deposit Taking and Interest Payment: The bank accepts deposits through various savings schemes (KBSDS, KBTDS, regular savings) and pays interest to depositors, using the float and spread as part of its business model.
3. Service Charges and Processing Fees: The bank earns fees from loan application processing, early settlement, and other banking services as documented in its loan program guidelines.

Pricing tiers

Go-to-market motion1 record

Distribution channels3 records

Marketing channels5 records

Core offering

Karmasangsthan Bank is a government-owned specialized bank that provides employment-generation loans, micro and small enterprise financing, and subsidized credit programs for unemployed youth, women, farmers, and rural populations of Bangladesh. It complements its lending portfolio with dedicated savings and term deposit schemes (KBSDS, KBTDS, regular savings) where depositors can access loan facilities against their balances. Operations are conducted through a nationwide branch network supported by an internal Core Banking System and online loan origination platform.

Product overview

Karmasangsthan Bank operates as a specialized government bank in Bangladesh focused on employment generation and SME financing. The bank's product portfolio consists of: (1) Deposit products including KBSDS (Special Deposit Scheme with 3-5 year terms offering 7-7.5% interest), KBTDS (Term Deposit with flexible 3-month to 1-year options at 7-7.25% rates), and regular savings accounts; (2) Multiple government/Bangladesh Bank-sponsored loan programs covering agriculture, fisheries, livestock, COVID-19 relief, and youth employment with interest rates ranging from 3% to 9%; (3) Internal digital services including an online loan application system (KBLMS), Zimbra-based email infrastructure, employee management systems, and an innovation services platform. The bank also operates an Innovation Corner initiative for internal innovation management. The institution does not offer a public API for external developer integration.

Differentiator

Problem solved

Functional benefit

Products and services

• Karmasangsthan Bank Special Deposit Scheme (KBSDS) A special savings deposit scheme with 3-year or 5-year terms where customers make monthly deposits of BDT 500, 1,000, 2,000, 3,000, 4,000, 5,000, or 10,000, earning 7.00% annual compound interest for 3 years and 7.50% for 5 years. Subscribers can access a loan facility up to 90% of their deposit balance at the deposit rate plus 3% additional interest. Targeted at small savers, first-time depositors, micro-entrepreneurs, and existing loan scheme participants who want to combine savings with future borrowing capacity.
• Karmasangsthan Bank Term Deposit Scheme (KBTDS) A one-time lump sum term deposit scheme with flexible tenures from 3 months to 1 year, paying 7% interest for up to 3 months and 7.25% for tenures of up to 6 months and up to 1 year. Maturity is paid with accrued interest minus applicable government tax, and any deposit amount is accepted. Available to entrepreneurs, guarantors, bank staff, and all adult citizens of Bangladesh seeking fixed-term savings.
• Special Loan Programs (Government and Bangladesh Bank-sponsored) A portfolio of subsidized loan programs operated by Karmasangsthan Bank on behalf of the Government of Bangladesh and Bangladesh Bank, covering agricultural industry loans, fisheries and livestock phases 1-4, COVID-19 stimulus packages, the SPCSSECP program, the CMSSE women entrepreneurship program, and youth employment generation loans. Interest rates range from 3% to 9% depending on the program, and loans are targeted at unemployed youth, women, farmers, fishermen, livestock producers, and rural populations across Bangladesh.
• Own (Nijossho) Loan Programs Karmasangsthan Bank's own (nijossho) loan programs under which the bank provides collateral-free loans up to BDT 500,000 for trained youth and micro enterprises, available to unemployed and underemployed youth seeking to start or expand small income-generating activities under guidelines documented on the bank's website.
• KB Savings Deposits Regular savings deposit accounts offered by Karmasangsthan Bank to individual and business customers, sitting alongside the KBSDS and KBTDS schemes to provide a range of deposit options from basic savings to longer-term deposits.

Quantifiable outcome

• Multiple specialized loan programs for youth employment, women entrepreneurs, agriculture, fisheries, livestock, and COVID-19 stimulus

Segments4 records

Ideal customer profiles4 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Integration6 records

Feature3 records

Partnerships

Three partnerships are on record, tiered core and minor.

• Bangladesh BankcoreStrategic or Co-development PartnerBangladesh Bank, the central bank of Bangladesh, provides refinancing facilities and special credit programs for Karmasangsthan Bank, including subsidized loan programs for fisheries, livestock, agriculture, and COVID-19 stimulus packages. The bank also provides ICT security guidelines and CBS-related guidelines that Karmasangsthan Bank follows.
• Financial Institutions Division, Ministry of FinancecoreStrategic or Co-development PartnerThe Financial Institutions Division of the Ministry of Finance oversees Karmasangsthan Bank, issues appointments for Managing Director and other senior positions, and provides policy direction for the bank's operations as a government-owned financial institution.
• Skills for Employment Investment Program (SEIP), Finance Division, Ministry of FinanceminorStrategic or Co-development PartnerSEIP, under the Finance Division of the Ministry of Finance, collaborated with Karmasangsthan Bank to provide advanced training for bank officials at the Bangladesh Institute of Governance and Management (BIGM) and the National University of Singapore (NUS), contributing to institutional capacity building.

Scale indicators2 records

Recent moves6 records

Expansion highlights5 records

Broad incumbents

• Islami Bank Bangladesh: One of Bangladesh's largest private banks with Islamic-banking products including SME financing. Comparable in SME lending exposure and Bangladesh-wide branch presence, but operates on commercial pricing and a Shariah-compliant framework that KB does not follow.
• Agrani Bank: State-owned commercial bank in Bangladesh under the Ministry of Finance. Comparable in government ownership structure and Bangladesh Bank regulation, but with a diversified commercial banking portfolio rather than KB's specialized SME/employment focus.
• Sonali Bank: Largest state-owned commercial bank in Bangladesh, also under the Ministry of Finance. Comparable in government ownership and Bangladesh Bank oversight, but operates as a full-service commercial bank (corporate, trade, treasury) — broader mandate than KB's specialized employment-generation focus.
• Janata Bank: Major state-owned commercial bank in Bangladesh under the same Financial Institutions Division of the Ministry of Finance. Shares regulatory parent and government ownership with KB, but offers a full range of commercial banking services rather than the specialized employment-generation mandate.

Direct peers

• BRAC Bank: Private-sector bank in Bangladesh with a strong SME and small-entrepreneur focus through BRAC's microfinance ecosystem. Comparable customer base (unemployed youth, women entrepreneurs, micro/SME) but operates on commercial rather than subsidized terms, providing a benchmark for non-subsidized unit economics in the same segment.
• BASIC Bank Limited: State-owned specialized bank in Bangladesh focused on SME and industrial financing. Comparable as another government-backed specialized bank offering subsidized credit to priority sectors, with a similar branch-based distribution model and Bangladesh Bank refinancing access.
• Grameen Bank: Bangladesh's flagship microfinance institution providing small, uncollateralized loans to poor and unemployed borrowers — directly overlapping KB's core customer segment (rural, unemployed, micro-entrepreneurs). Comparable in target market and product (microcredit), though organized as a cooperative rather than a state-owned bank.
• Bangladesh Krishi Bank: Government-owned specialized bank providing agricultural and rural credit in Bangladesh. Directly comparable in mandate (specialized government bank), customer base (rural/farmers), and product set (subsidized sectoral lending), differing primarily by sector focus (agriculture vs. employment generation).
• Bangladesh House Building Finance Corporation (BHBFCL): Another state-owned specialized financial institution under Bangladesh's Ministry of Finance. Multiple Karmasangsthan Bank executives were recruited directly from BHBFCL (the current MD and several MD-level officers), making it the closest structural and operational peer.

Regional players

• Pubali Bank: One of Bangladesh's largest private commercial banks with a domestic branch network comparable to KB's geographic footprint. Comparable in Bangladesh-wide retail and SME banking presence, but operates as a private profit-oriented institution versus KB's government-mandated specialized role.

Market position

Strengths4 records

Weaknesses5 records

Competitive moat4 records

Key risks6 records

Key highlights6 records

Customer concentration

• YouTubeyoutube.com/kbgovbd
• Facebookfacebook.com/kb.gov.bd
• Xx.com/KbGov
• LinkedInlinkedin.com/company/karmasangsthan-bank

Compliance6 records

Revenue estimate

Valuation estimate

Number of profiles

Profiles6 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Karmasangsthan Bank