03 July 2022 17:33:53
RFL Electronics Ltd (REL) secured a $23.0 million credit facility from the UK Development Finance Institution to expand its manufacturing capacity for home appliances.
The British International Investment loan will be used to import machinery for the company’s new factory in the Danga Industrial Park, the company said in a statement, bdnews24.com reports.
REL, a unit of PRAN-RFL Group, hopes to expand its refrigerator manufacturing capacity and assembly line of small appliances such as rice cookers and blenders with the funds. It will also help create at least 600 jobs, 40% of which are expected to be semi-skilled workers, according to the company.
The loan marks BII’s first investment under the ‘2X Challenge’ in Bangladesh, due to the role of women in the company’s leadership and its initiative to advance quality employment opportunities for women within its workforce.
The 2X Challenge is an initiative launched by G7 development finance institutions to mobilize capital to support increased economic empowerment for women in emerging economies.
“I am delighted that we are deepening our partnership with the PRAN-RFL group thanks to this loan. This latest investment in REL demonstrates BII’s commitment to continue supporting the growth of an ambitious partner that is making great strides towards accelerating productivity in the country and creating inclusive economic opportunities in the form of jobs. for women and semi-skilled workers,” said Mr. Rehan Rashid, BII’s Country Director for Bangladesh.
Ahsan Khan Chowdhury, CEO of PRAN-RFL Group, said the facility will help boost local manufacturing and meet growing demand for electronics among Bangladesh’s rapidly growing and urbanizing middle-income segment.
Welcoming the initiative, the British High Commissioner to Bangladesh, Robert Chatterton Dickson, said the investment recognized PRAN-RFL’s efforts to increase women’s employment.
“The BII is at the heart of the UK’s new international development strategy and it provides honest and reliable investment that creates jobs and supports economic development in Bangladesh,” he added.