BRAC backs Yunus' cause
Dhaka, Mar 5 (bdnews24.com) — Hours after the Grameen Bank employees and Dhaka University teachers protested the ouster of their managing director, Muhammad Yunus also saw support coming from the BRAC chairperson.
On Saturday, Fazle Hasan Abed, the chairperson, expressed concern over the recent controversy surrounding Grameen Bank. "On behalf of BRAC, I am expressing my concern at the recent development concerning Grameen Bank," he said in a statement. Abed demanded that the welfare of around 8.3 million borrowers and continuous progress of the institution be accorded highest priority over 'any decision affecting the organisation'.
Two days after the removal of Grameen Bank's MD and Noble laureate Muhammad Yunus, the BRAC chief feared that the decision might land the organisation's future in jeopardy.
"For the sake of the millions of its members, we must take utmost care in not letting this happen. A carefully planned succession for Dr Yunus can help a smooth transition and give the organisation the stability that it needs to ensure the welfare of its members," he contended. BRAC chairperson maintained, "A big capital of such organisations is the intrinsic community level trust that they have earned. This trust element must not be underestimated. If this trust is lost, then there may be delinquencies, intentional refusal to repay loans or large-scale withdrawal of savings by the members."
A sudden exit of the founder and the managing director of Grameen Bank and a legal battle between the board and the government might potentially cause a loss of confidence among its borrowers putting the organisation's future in doubt, Abed observed.
He hoped that due process would be followed for any steps concerning Yunus or Grameen Bank "keeping in mind the integrity of the institution concerned and also how lack of due process may affect the reputation of our country globally".
Claiming that microfinance institutions (MFI) like Grameen Bank were different from traditional organisations, Abed said MFIs like Grameen Bank, BRAC and various local MFIs supported by PKSF had played a crucial role in Bangladesh in ensuring access to finance and enterprise development.
"We must remember that development organisations play a complimentary and supportive role to the government in national development. Recent dramatic decline on maternal mortality rate is a great example where such complimentary work can prove tremendously beneficial for the entire country… Government and the NGOs must continue to work together to achieve the Millennium Development Goals (MDG) for which our Prime Minister recently got acclaimed internationally," he said.
Dhaka, Mar 5 (bdnews24.com) — Hours after the Grameen Bank employees and Dhaka University teachers protested the ouster of their managing director, Muhammad Yunus also saw support coming from the BRAC chairperson.
On Saturday, Fazle Hasan Abed, the chairperson, expressed concern over the recent controversy surrounding Grameen Bank. "On behalf of BRAC, I am expressing my concern at the recent development concerning Grameen Bank," he said in a statement. Abed demanded that the welfare of around 8.3 million borrowers and continuous progress of the institution be accorded highest priority over 'any decision affecting the organisation'.
Two days after the removal of Grameen Bank's MD and Noble laureate Muhammad Yunus, the BRAC chief feared that the decision might land the organisation's future in jeopardy.
"For the sake of the millions of its members, we must take utmost care in not letting this happen. A carefully planned succession for Dr Yunus can help a smooth transition and give the organisation the stability that it needs to ensure the welfare of its members," he contended. BRAC chairperson maintained, "A big capital of such organisations is the intrinsic community level trust that they have earned. This trust element must not be underestimated. If this trust is lost, then there may be delinquencies, intentional refusal to repay loans or large-scale withdrawal of savings by the members."
A sudden exit of the founder and the managing director of Grameen Bank and a legal battle between the board and the government might potentially cause a loss of confidence among its borrowers putting the organisation's future in doubt, Abed observed.
He hoped that due process would be followed for any steps concerning Yunus or Grameen Bank "keeping in mind the integrity of the institution concerned and also how lack of due process may affect the reputation of our country globally".
Claiming that microfinance institutions (MFI) like Grameen Bank were different from traditional organisations, Abed said MFIs like Grameen Bank, BRAC and various local MFIs supported by PKSF had played a crucial role in Bangladesh in ensuring access to finance and enterprise development.
"We must remember that development organisations play a complimentary and supportive role to the government in national development. Recent dramatic decline on maternal mortality rate is a great example where such complimentary work can prove tremendously beneficial for the entire country… Government and the NGOs must continue to work together to achieve the Millennium Development Goals (MDG) for which our Prime Minister recently got acclaimed internationally," he said.
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