Annual Report 2013 14

VISION
The vision of ASA is to establish a

poverty free society.
MISSION
The institutional mission of ASA is to support and
strengthen the economy at the bottom of the
socio-economic pyramid by facilitating access to
financial services and provide primary healthcare,
education, water and sanitation facilities from own
resources generated from microfinance program
for the poor, marginalized and disadvantaged.
CORE VALUES
Innovative and
non-conventional management
for achieving cost-effectiveness
and
sustainability
ASA Annual Report 2013-14
MD. SHAFIQUAL HAQUE CHOUDHURY
From the
PRESIDENTS
Desk
We, as a poverty affected
nation by now have made
appreciable achievement in its
alleviation as the number of the
poor has dropped below 30
percent of total population
which is closer to the desired
goal. This success came through
the collective effort of the
government, private sector and
the NGOs. No doubt this is a
milestone
feat
towards
establishing a society free from
the curse of poverty. However, in
spite of this noteworthy success,
our mission will have to be
pursued until the ultimate target
is achieved.
Despite multifaceted constraints
in economy, Microfinance, the
core program of ASA has shown
consistent growth during 2013-14
fiscal year. We brought some
time-befitting reform in the
program to transform it into
more
client-friendly
and
responsive
one.
ASA
Microfinance program was able
to disburse Tk. 10,500 crore (USD
1.31 billion) during this period.
Even in high inflation we were
able to manage the program at
minimum operational cost this
year also. This further solidifies
standing of our organization.
I feel delighted to share the fact
that ASA has not only been
managing
microfinance
sustainably but also proving
social services from its own
income. This is a rare example in
development practice and the
approach
followed
by
a
number of NGOs entirely.
To keep the process of poverty
reduction going and for the
sustainability
of
its
achievements,
more
social
issues like health, education,
sanitation, hygiene have to be
given due emphasis because
these are interrelated with
efforts of curbing poverty. Lack
of education and sound health
pushes poor people into chronic
poverty.
The fiscal year 2013-14 was very significant for us as well as for
Bangladesh because 2015, the target year for achieving
Millennium Development Goal, is knocking at the door. We
are standing less than a year away from the much talked
about timeline of global poverty reduction. The United
Nations has set the tag to cut poverty of the world by half by
this time.
We redesigned and extended

the
jurisdiction
of
the
non-financial programs in the
light of above mentioned
realities during 2013-14 fiscal
year.
The
Non-financial
Programs of ASA on Health
Awareness, Primary Education
Strengthening and Physiotherapy
-- have been providing access
for more people in new localities
in the country. About five million
underprivileged people mostly
living in rural and remote areas
are being benefited from these
services
at
present.
We
emphasized
maximizing
outcome of these programs to
benefit greater number of less
privileged groups.
This year, we initiated Water and
Sanitation
Program
for
increasing
production
and
marketing capacity of small
scale sanitation entrepreneurs.
Under this program financial and
technical supports are being
provided to them so that they
are able to develop quality
sanitary products according to
the purchasing power of the
poor and the low income
people. Besides, Integrated
Health and Education Program
and Vermicompost Program
have been launched in the last
quarter of this fiscal year. These
new programs aim at extending
primary healthcare service to
the
less-privileged
and
increasing use of compost
manure to improve agriculture
production
while
keeping
environment
free
from
degradation.
In addition, ASA provides cash
health assistance to its clients for
minor illness from each branch
and also provides bigger
amount up to Tk. 50,000 as grant
for the treatment of heart,
kidney, cancer and other fatal
ailments to the clients.
We have established ASA
Medical Assistant Training School
(MATS) at Chunarughat Upazila,
Habiganj in September 2013. In

March 2014, ASA MATS started
academic activities formally
with its initial batch of 39
students. A significant number of
them were belonging to the poor
households. As a country with
insufficient number of doctors for
its people, ASA MATS will
discharge a vital responsibility of
creating undergraduate medical
assistants who will have a very
important role to play in
improving public health.
ASA University and Hope for the
Poorest (HP), two sister concerns
of ASA, attained considerable
progress in their respective
domains of education and
welfare service during 2013-14.
Furthermore,
Technical
Assistance (TA) service of ASA for
replicating microfinance and its
further extension in a number of
Asian and African countries
gained momentum during this
period as increasing number of
ASA officials visited those
countries for the purpose.
Altogether, we left behind
2013-14 with a mixed bag of
experience as we were able to
reach millions of deserving
people through our passionate
and caring financial and
non-financial services. We are
committed to reach more
helpless people as well as more
underdeveloped areas with
more crucial services for the
common mass in the coming
years.
We are grateful to MRA for quick
and positive disposal of our
proposals and initiatives for
social development out of the
surplus
income
of
ASA
microfinance program.
Md. Shafiqual Haque Choudhury
President
ASA.
iii
Interpretation
of the
Logo
of
ASA
The logo of ASA contains two human hands at the bottom, the shining sun in the
middle and the circle depicting horizon on the top.
The sun in the logo symbolizes the source of all energy or resources, the two
hands are the hands of the struggling poor people and the circle at the top is the
horizon of the eternal blue sky.
The logo therefore epitomizes that poor people are capable of gripping the
source of energy or resources through widening their knowledge and reach up
to the horizon with the institutional support provided by ASA.
A Commitment
for
Social Rejuvenation
vi
Vision, Mission, Values
iii
From the Presidents Desk
iv
Interpretation of the
Logo of ASA
vii Contents
CONTENTS
CONTENTS
01
Governing Body
17
Managment Team
33
TA Service
02
Tributes to Mahbubul Alam
18
Organogram
35
Hope for the Poorest (HP)
03
Microfinance Program
19
Non-Financial Program
37
ASA Medical
04
Case Study
20
Primary Education
05
Savings Program
07
Loan Insurance
08
Assistant Traning School
Strengthening Program
39
ASA University
21
Physiotheraphy Program
43
Events
Remittance Service
22
Health Awareness Program
45
ASA at A Glance
09
Agribusiness Project
23
Health Welfare Program
46
National Coverage
10
Vermicompost Project
25
New Initiaves of 2013-14
47
Projection for 2014-2015
11
The Unique Features
28
Training
48-66 Audit Report & Financial
13
Milestones
29
Research and Documentation
15
Achievements &
31
Exposure and Internship
Statements
Recognitions
vii
Governing
Body
Mrs.Taherunnessa Abdullah
Mr. Alauddin Ahmed
Mr. Mahbubul Alam
Prof. Nurul Islam
Mr. Matiur Rahman Chowdhury
Mrs. Rabeya Akter Choudhury
Dr. Dalem Ch. Barman
CHAIRPERSON
MEMBER
MEMBER
01 ASA Annual Report 2013-14
TREASURER
MEMBER
MEMBER SECRETARY
MEMBER
MEMBER
Tributes
to
MAHBUBUL ALAM
Member of ASA Governing Body and a veteran journalist Mahbubul Alam passed away on
6 June 2014 at BIRDEM hospital in Dhaka due to old age complication. He was 78. Mahbubul
Alam was as an Advisor to the Caretaker Government during 2006-07.
Late Muhbubul Alam was associated with ASA as a member of its Governing Body over two
decades. He played a significant role in ASAs transition from a medium NGO to the largest
and best MFI of the world. As a gentleman par excellence he was a person with a pure heart
and great human qualities. At his demise we lost a friend, philosopher and guide and ASA
lost a guardian.
ASA President Md. Shafiqual Haque Choudhury expressed profound shock and sorrow at his
demise. He praised the contribution of Mr. Alam, held him in high esteem and termed his
death as an irreparable loss to the nation.
We pay our highest regard to the benevolent human being and a true patron of ASA. His
works will be a source of inspiration to us and he would remain memorable forever.
ASA Annual Report 2014
02
FINANCIAL
PROGRAM
Microfinance Program
ASA will continue to keep

reforming of its microfinance
program according to the
changing necessity of the
clients so as to support and
strengthen the economy at
the bottom of the
socio-economic pyramid. The
organization has set a target
of disbursing loan amounting
to TK. 12,000 crore (USD 1.5
billion) in the next fiscal year.
With a vast network of grassroots

level outreach comprising 2931
branches across the country
ASA Microfinance Program
provides
financial
inclusion
offering appropriate financial
assistance to help the lower
income segment, economically
disadvantaged
groups,
smallholder farmers, tenants,
climate victims, people affected
by the natural disasters etc. and
helping them improving their
economic condition and in turn
reducing their poverty. In
realizing its objective, ASA has
concentrated in transforming its
loan
products
and
other
financial services into more
client-friendly and responsive
initiatives to the target people.
A
significant
number
of
branches had been shifted to
the suitable localities making
available hassles-free service to
the clients in their doorsteps.
The organization disbursed an
amount of money totaling BDT
10,500 crore (USD 1.31 billion) as
loan to about five million
member-borrowers
during
2013-14 fiscal year. A recent
survey reveals that about 80
percent clients of ASA use their
loan money in agriculture and
agribusiness activities. This means
that ASA microfinance has been
playing a significant role in
improving agriculture production
in Bangladesh which in turn is

facilitating to ensure food security
of over 150 million population of
the country. This fact inspires us
further to scale up the program
as well as outreach according to
the
growing
demand
of
agro-sector of the country.
Poverty scenario of Bangladesh is
changing fast. In early part of
2014 Government of the country
declared that about 27 percent
of its people live below the
poverty line. This figure is close to
achieving the target of poverty
status within 2015 as Millennium
Development Goal set by the
United Nations. This laudable
achievement came as a result of
combined and relentless efforts
of the GO, private sector and the
NGOs to improve living condition
of the downtrodden people.
Rural lives, livelihoods and
economy are now changing
faster with fast disappearing
poverty. People of the rural areas
are increasingly involved in
different economic activities and
their income and purchasing
power have increased. For
consolidating the positive trends
in countrys economy ASA
microfinance program has all
along been playing a substantive
supporting role.
10,500
as loan to about 5 million
BDT
crore
(USD 1.31 billion) disbursed
member-borrowers
CASE STUDY
As the family size of Anowara
was getting bigger so was the
intensify of poverty. In spite of
joint earning the couple could
not maintain their big family.
Anowara started cow rearing at
her slum to earn more alongside
her regular work. They got some
relief from the hardship because
of additional income from cow
rearing but could not fully
overcome poverty and address
needs.
For want of money she could

not expand her business. Then
she contacted ASA and sought
a loan. ASA officials considered
Anowaras
request
and
provided a loan in the quickest
possible time. Anowara invested
the borrowed money for expansion of her dairy farm. With this
investment the dairy farm got
revitalized bringing in significant
increase of income from the
produce. Number of cattle of
the farm increased to seven.
Among them two cows now

give 30 liters of milk per day.
Anowaras husband Milon Mia is

now fully engaged in the farm.
He looks after the cattle and
sells milk. The couple engaged
their two sons in the dairy farm
as well and later could manage
to send one of them to a foreign
country. All six daughters and
sons got married. Anowara and
Milon
Mia
managed
the
expenses of their childrens
marriages out of the earning of
this farm.
Anowara joined ASA as primary
loan borrower. By dint of hard
labour she graduated herself as
a special borrower. This year she
borrowed a loan amounting to
Tk. 1,50,000 from ASA and
invested the full amount for
further development of the
farm. Her present net income is
Tk. 30,000 per month. The market
price of her cattle is about Tk.
7,00,000. From the earning she

could make four tin-roof houses
and furnish them. She bought a
television set and a refrigerator
out of her family income also.
While Anowara was talking
about the ups and downs of her
struggling life in Agargoan slum
alongside
some
high-rise
buildings she looked confident
and satisfied. During the discussion she was telling firmly that
the farm would get bigger soon
and it would play a vital role in
meeting demand of milk in this
area of Dhaka city.
About 40 years back, a newly married Anowara Begum came to

Dhaka with her husband to live a better life from a remote village.
Anowara and her husband Milon Mia took shelter at a slum of
Agargoan area in Dhaka city. Her husband worked as a day laborer
and she managed a job of cleaning houses and offices in the
adjacent area. With their income the couple barely could manage
the living costs. They were passing through poverty and financial
uncertainty. Gradually, Anowara became a mother of four sons and
two daughters.
ANOWARA an inspiring woman
04
SAVINGS
PROGRAM
Saving is one of an essential component to improve economic status of clients leading to their poverty
alleviation. Making the poor people aware about the significance of saving and creating savings
attitude are important operating approaches adopted by ASA in its microfinance program. Presently,
the organization is offering three types of savings products:
i) General Savings and
ii) Long-term Savings to the clients and service recipients according to the income and financial
competence. While general saving at the lowest rate is mandatory long-term savings are optional.
iii) Capital Build-up Savings
Objectives of the Savings Program:

Motivating members to increasingly engage in savings from
income out of their income generating activities (IGAs);
Developing a capital fund for their additional income generating
activities (IGAs);
Savings to form a principal source of capital for poverty alleviation
program;
Assisting poor people to attain self-sufficiency;
Creating a formidable funding source to meet family needs;
Overcoming helplessness in natural or other disasters.
Voluntary Savings:
In addition to general weekly or monthly savings group members may
engage in voluntary savings and obtain following benefits:
ASA offers client friendly process to poor depositors who are not welcomed
by commercial banks because of their lower savings.
Petty balances after weekly repayments may be deposited.
Seasonal balances that are normally not deposited in formal banks for lack
of adequate time can be deposited as savings along with weekly or
monthly repayments.
Voluntary savings can be deposited or withdrawn at will of the member.
Long-term Savings (LTS):

LTS aims to ensure future financial safety and security of a family.
This is not compulsory. Its duration is 5 years to 10 years, but a
depositor can withdraw it anytime. Interest rate is as follows:
Duration
1-60 months
61-120 months
Above 10 years
Interest Rate
6% (compound)
9% (compound)
12% (compound)
Monthly savings amount may be Tk. 50, Tk. 100, Tk. 200, Tk. 300, Tk. 400, Tk. 500
and Tk. 1000. No member can deposit per month above Tk. 1000.
Capital Buildup Savings Fund (CBSF):

Capital Buildup Savings Fund aims to provide security through financial assistance
to the family on normal or accidental death of the group member.
Weekly premium is Tk. 10 or monthly premium is Tk. 50.
On death of a borrower his/her family is given twice the deposited amount as security.
The duration of CBSF is 400 weeks. For withdrawal before its maturity the borrower is
given interest benefit on deposited period at a specific rate.
Features of ASA Savings Products

TYPE
FEATURE
General Savings
6% yearly interest.
Minimum savings: Tk. 10-70 per week and Tk. 50-150 per month for primary loan; Tk. 50 per
week and Tk. 100-250 per month for special loan depending on loan amount.
Members may withdraw from their savings any time maintaining a balance of at least 10% of
their loan outstanding.
Voluntary
Savings
6% yearly interest.
May deposit any amount above their mandatory weekly savings.
Members may withdraw from their savings anytime maintaining a balance of at least 10% of
their loan outstanding.
LTS
6% yearly interest for a duration up to 60 months, 9% for 61-120 months and 12% for above
10 years. Compound rates are applicable.
Members may deposit from Tk. 50 to Tk. 1000 monthly.
Members can withdraw from their savings anytime at an interest rate calculated on monthly
basis.
CBSF
Weekly premium is Tk. 10 or monthly premium is Tk. 50.

On death of a borrower his/her family is given twice the deposited amount as security.
The duration of CBSF is 400 weeks. For withdrawal before its maturity the borrower is given
interest benefit on deposited period at a specific rate.
Specialty of ASA Savings Program:

Deposits can be withdrawn at any time.
Savings are fully protected.
Interest rates are competitive.
ASA accepts even very small deposits.
Savings service is provided at the clients locality.

Transparent accounting.
Strong MIS.
Compassionate and professional behavior of ASA staff.
Highlights
General
SAVINGS
BALANCE
Taka
Long Term
13,192,397,862 Taka10,660,934,943
Capital Build-up
Taka
4,524,793,189
TOTAL
Taka
28,378,125,994
06
LOAN
INSURANCE
ASA provides Insurance facilities to its clients and

beneficiaries to cover her/his death risk and
spouse enabling them to enjoy financial
assistance from the organization for a certain
period of time.
For every loan cycle

premium is Tk. 7 for
female and Tk. 3 for male
borrowers per thousand Tk.
received loan amount.
In case of female borrower, it

covers the death risk of
borrower and her husband. But
for male borrower death it
covers only the policy holder.
CLAIMS PAYMENT
Taka
257,151,424
REMITTANCE
SERVICE
The remittance has become a
formidable input for revitalizing
the
countrys
economy.
Specially, the rural economy
gets a boost when wage
earners send money home.
Most of them belong to rural
households.
But not all their money is sent
through the usual/legal banking
channel. May be for lack of
reliability and other reasons
expatriates are reluctant to use
banking channel and prefer
Hundi
or
other
informal/unauthorized means to
send
their
money
home.
However, this not only deprives
the state of a huge amount of
foreign currencies each year
but also puts relatives of the
wage earners at the receiving
end at risk; often they face
considerable
difficulties
including delay in receiving the
remittance.
In view of the prevailing risk, ASA
initiated foreign remittance
service in 2008 with a mission to
offer a safer and faster money
transfer to the families of
expatriates.
ASA
has
collaboration with National
Bank Ltd and Western Union
Money
Transfer
for
quick
channeling of remittance from
different countries.
For the purpose ASA has
properly equipped its 1,700
branches, mostly located in
rural
areas
with
required
facilities
for
secured
and
accelerated
transfer
of
remittance.
ASA
Remittance Service
channeled
BDT 8,281
million during
2013-14 FY
08
AGRI-
BUSINESS
Project
With an objective of generating momentum in agriculture sector of the country ASA

has been operating Agribusiness Development Project since 2007 under a tripartite
agreement of Bangladesh Government and Asian Development Bank. The main
focus of the Project is concentrated at providing credit facilities, increasing
capacity, assisting to create market linkage and offering technological support to
the small and medium agro- entrepreneurs, farmers and traders of the country.
Over the period, the project achieved a notable progress to reach its ultimate goal
by extending credit, providing training on livestock, fisheries and high-value crops to
the target groups. In addition, under the project assistance was offered to the
clients in marketing of their produces with special attention to the women
entrepreneurs. Besides, the project is extending support to the clients in participating
agro fares and exhibitions so that the farmers/producers can showcase their
produces and goods to the consumers and buyers directly without interference of a
middleman or broker. The project disbursed BDT 350 million among 4,161 clients and
provided training to 593 entrepreneurs and farmers during FY 2013-14.
VERMICOMPOST
Project
Vermicompost is intended to reduce excessive use of chemical fertilizer ASA took this
project as a pilot effort to produce compost fertilizer out of domestic waste, unusable
parts of fruits and vegetable, debris in kitchen and faeces of domestic animal by
using a species of earthworm. The Vermicompost Project started functioning since
April of 2014.
ASA initiates the project to achieve the following targets:

Increase use of organic manure;
Improve soil fertility;
Increase food production to cover food deficit and attain food security;
Add moisture and water to preserve capacity of the soil;
Regain strength of soil and increase production;
Keep ecological balance and protect environmental pollution;
Enrich nitrogen, potassium and phosphate in soil;
Create jobs and self-employment.
Under the Project training and motivational sessions are being organized in different
parts of the country to create entrepreneurship and raise consciousness among the
farmers, users and concerned people about the importance and usefulness of
organic fertilizer particularly vermicompost in agriculture production, through a
process that keeps ecological balance and prevent environmental degradation.
The project targets to create jobs and make it as an income earning source in the
rural area.
Meanwhile, 10 vermicompost farms cum outlets have been opened in nine districts-Habiganj, Brahmanbaria, Netrokona, Narsingdi, Gazipur, Manikganj, Gaibandha,
Bogra and Pabna. These farms are operating to demonstrate production process
and utilization of vermicompost. More vermicompost farms cum outlets would be
opened across the country next year.
10
ASA
ASA has achieved sustainability
within a couple of years from the
starting
of
its
microfinance
program. The innovative policies
of the management and cost
effective approach in all aspects
were key to make it possible within
the shortest possible time. Besides,
strong determination of the
management
was
also
an
important factor for attaining
self-sufficiency with a steady
growth. There are some specific
reasons behind this success.
Key features of ASA's innovative
management and factors behind
success in its overall activities are
mentioned below:
Dynamic and forward-looking
leadership;
Self-explanatory written working
manual;
Decentralization and delegation of
authority to the branch level officials
and participatory process in decision
making;
Specialization in microfinance and
rapid expansion policy;
Transparent and faster recruitment
procedure;
On-the-job training approach (Each
one teach one methodology);
Simple and cost-effective branch
structure without a professional
accountant;
Simple and least hierarchical
organization;
THE UNIQUE
Easy and close communication among
officials as well as between officials
and clients;
Continuous strong monitoring and
supervision from all levels;
Simple and transparent accounting
and record- keeping system based on
formats;
Opportunity for sharing and discussion
to solve problems in the residential
office;
Low-cost culture practiced from top to
bottom;
Effective fund management;
Members' group transfer among the
Loan Officers after every six months;
Diversified loan products to meet
clients' demand;
Simple and shorter loan processing;
No collateral for providing loans;
Loan disbursement within 07 (seven)
days of membership;
Savings ( short and long term) and
Loan Insurance for the clients;
No group guarantee required for
providing loan;
No bindings to remain present in the
group meetings;
Education loan for members' children;
Male loan for members'
husband/guardian;
Opportunity to withdraw savings at any
time;
Special loan for natural disaster
affected areas;
Health assistance to the clients without
taking premiums.
FEATURES
ASA Sustainable and

Cost-effective Microfinance
Model
This special cost-effective method of ASA
helps a new branch to earn an adequate
income to be self-reliant within 12 months of
its inception.
Self-sufficiency of a Branch:
Key Factors
Staff members are selected quickly equipping
through short and practical training.
The branch office structure is standardized and
furnished with adequate but simple furniture.
District Managers are based in the field.

Central Office staff visit field regularly.
Regular internal audit.
Annual external audit.
Occasional and surprise branch visits by
the President of the organization.
Automated A/C, MIS, generated by
ASA microfinance management system
(AMMS).
AMMS was developed in-house by its
own IT experts.
Branch expenditure is standardized with set cost

ceilings.
A high number of borrowers, high portfolio per
Loan Officer and high fund-revolving rate
minimize total fund requirement.
Simple and standardized accounting procedures.
No extra full-time office assistant, technical
personnel or security guard.
Features Safeguarding
Sustainability
Borrowers are monitored and scrutinized by

the Branch Manager.
Staff members provide ASA with a security
deposit (earn interest).
Joint signature required for withdrawal from
branch's bank account.
Required daily withdrawal is allowed.
Cheques are preserved by different Loan
Officers.
Cash book is maintained by Loan Officers on
a revolving basis.
Loan Officers rotate groups after every six
months.
12
Foundation Phase
Reformative Phase
Program Specialization Phase
(1978-1984)
(1985-1991)
Awareness building of the poor

for enabling them to perform
the necessary social function.
Legal program to fight against
injustice and ensure access to
land.
Training for the members and
the rural journalists.
ASA being specialized

in Microfinance
program introduced
Small Loan, Power
Pump Loan and
Housing Loan for the
clients. These credit
programs were
initiated as per
demand of the clients.
1992
Loan Insurance Premium

System was introduced to
shield the inheritors of the
clients on the latters'
sudden demise against
the risk in paying back
the outstanding loan
amount.
1993
Small Savings program was

introduced for the clients
enabling them to save at least
small amount of money in their
savings accounts to use that
during hardships. ASA started
providing Technical Assistance
(TA) internationally, enhancing
capability of other interested
international organizations to
replicate ASA's cost-effective
and sustainable microfinance
model to help assist the poor in
their respective countries.
(1992- to date)
Women empowerment through

the improvement of health,
nutrition, education, sanitation
and credit.
Post-disaster
management
program.
Mini-irrigation program.
1994
Savings provision against

loan insurance was
introduced.
1995
Flood is a common
natural calamity in
Bangladesh that
damages lives and
livelihoods on a large
scale almost every year.
Considering this frequent
flood an interest free
rehabilitation loan was
launched to assist the
victims to overcome
such crisis.
1996
Microfinance (credit and

savings program): From time
to time expansion, quality
improvement
in
credit
delivery systems, modification,
etc. are being adopted to
meet demand of the valued
customers at home and
abroad.
ASA declared itself as a

completely grants/donor
free organization.
1997
Small Business Loan and

Voluntary Savings were
introduced.
2001
Education Loan was

introduced for the
members' children
who study in different
educational
institutions at various
class/grade/levels.
Business
Development
Service loan was
introduced to
rehabilitate/reorgani
ze the income
generating activities
of the members
affected due to
unexpected
situations/damages
caused by flood, fire,
theft, etc. Mini Life
Insurance (Male) was
introduced to cover
the incidence of
death of the
husband/guardians
of the clients.
Information Technology Loan was

introduced to help the clients
facilitating their access to the modern
technology supply markets and make
their participation in commercial uses
of the technology.
Primary Education
Strengthening Program was
introduced to provide tuition
support to the students of poor
households in coping study for
reducing dropout.
ASA introduced Remittance

Service under Western Money
Transfer Program.
2003 2004 2005 2006 2007 2008 2009 2011 2012
Small Entrepreneur
Small
Entrepreneur
Lending
(SEL) was
Lending
(SEL)for
was
introduced
the
introduced
for the
small entrepreneurs.
small
entrepreneurs.
A product
named
A Hardcore
product named
Poor Loan
Hardcore
Poor Loan
was introduced
for
was
for
theintroduced
poor who were
the
poor
who
were
not able to receive
not
able
to receive
small
loan.
Mini Life
small
loan. Mini
Life
Insurance
(Female)
was introduced
to
Insurance
(Female)
provide
the poor
was
introduced
to
with insurance
provide
the poor
coverage
to meet
with
insurance
emergencies
due to
coverage
to meet
any sudden due
death
emergencies
to
within
a loan
cycle.
any
sudden
death
within a loan cycle.
Small Loan (Male)

Small
Loan (Male)
was introduced
to
was
helpintroduced
the male to
help
the male
members
of clients to
members
of clients
to
run different
projects.
run
different
Monga
(Lackprojects.
of
Monga
(Lack of
Employment)
Loan
Employment)
Loan
was also introduced
in Monga
affected
was
also introduced
Short
Term
inareas.
Monga
affected
Loan Program
was
areas.
Short Term
arranged
for clients'
Loan
Program
was
urgent needs.
Long
arranged
for clients'
Term Savings
urgent
needs.(LTS)
Long
was
introduced
to
Term Savings (LTS)
support
clients during
was
introduced
to
hardships.
support
clients during
hardships.
OTHERS
ASA Staff and Family
Welfare Fund
2003
ASA Insurance for Staff
2005
Medical Assistance grant

for member's treatment.
Agribusiness Loan was

Agribusiness
introduced
toLoan was
introduced
to of
promote
all kinds
promote all kinds of
agro-related
agro-related
businesses
and assist
businesses
and assist
the
small farmers
in
the small
farmers in
their
cultivation.
their cultivation.
Solar Power
Program was
launched to
extend solar
energy as an
alternative source
of fossil energy.
Health Awareness
Program was
initiated to create
awareness among
the ASA group
members on
cleanliness and
pursuing healthy
habits in daily life.
Physiotherapy
Program was
commenced to
provide treatment
for preventing
perennial sufferings
of the poor and the
underprivileged.
Assistance for other

NGO/MFIs
Associated
Organizations
1995
Providing Fund for Partner

NGOs/MFIs
2006
ASA University Bangladesh

(ASAUB)
2001
Channeling Fund/Soft Loan

for other NGOs/MFIs
2010
Hope for the Poorest (HP)
2013
ASA - MATS
14
Achievements &
Recognitions
Provider of TA
Internationally.
1993
Selected as International
Service Provider (ITSP) by
UNDP.
1994
Acknowledged to attain
Financial Self-Sufficiency (FSS).
1998
2002
Selected as the Best TA

Provider Globally (by
UNDP).
ASA provided
technical, managerial
and consultancy
services to establish
ASAI HC based in
Mauritius and its
subsidiaries in India,
Pakistan, Philippines, Sri
Lanka, Cambodia,
Ghana and Nigeria.
ASAI HC reached
700,000 clients strength
within a few years.
2004
2005
Selected as the top MFI of

the world by the Forbes
magazine, USA.
ASA has been selected as one of the

five finalists MFI by the FONDAZIONE
GIORDANO DELL'AMORE, Italy.
2007
ASA has been placed in

all the six categories with
exceptionally best results
in the MIX report titled
"2005 MIX Global 100: MFI
League Table" presented
in the MCS 2006,
Canada.
2008
2011
ASA has been awarded

with the "Banking at the
Bottom of the Pyramid" by
the Financial Times,
London, UK and
International Finance
Corporation (IFC) jointly.
2012
Global Magazine of
Switzerland chose ASA
as one of the 100 top
NGOs of the world.
16
MANAGEMENT TEAM
PRESIDENT
SENIOR DEPUTY PRESIDENT

M Abdul Aziz
EXECUTIVE VICE PRESIDENTS

Mr. Sushil Roy (HR)
Mr. Ranesh Acharjee, FCA (Accounts)
Md. Fayzer Rahman (Operation)
M A Halim Khan (Operation)
DIRECTORS
Md. Taufiqul Islam Chowdhury (Accounts, Finance & MIS)
Sheikh Mozahar Uddin (HR)
Gulam Mustafa (Legal Affairs)
CENTRAL
Accounts
EVP
Accounts
Finance
& MIS
FIELD
Foreign
Remittance
Finance
& MIS
Director
Accounts,
Partners
Agribusiness
EVP
BRANCH
REGION
DISTRICT
ZONE
Water &
Sanitation
EVP
Operation
Program
Operation
International
Affairs
Research
Communications
&
Documentation
Risk
Management
IT
Integrated
Health
Program
Education
Program
Director
HR
HR
EVP
Logistics
ASA
Tower
Director
Legal
Affairs
Audit
ASA
ORGANOGRAM
SR. DEPUTY
PRESIDENT
PRESIDENT
GOVERNING
BODY
GENERAL
BODY
NON-FINANCIAL PROGRAMS
Non-Financial Programs from Own Resource
Serving the underprivileged

is the motto
ASAs non-financial programs made a

remarkable progress of delivery services
in 2013-14. The outreach of Primary
Education
Strengthening
Program
(PESP), Health Awareness Program
(HAP), Integrated Health and Education
Program, Physiotherapy Program was
extended to cover more and more
localities inhabited by the poor and the
underprivileged with required services.

The number of beneficiaries of these
services increased considerably to five
million during this year. The cost of
operation of these programs was borne
by the ASA from its own fund.
Primary Education Strengthening Program
Enlightenment leads to
poverty alleviation
Illiteracy and poverty go hand in hand.

So
education
is
considered
a
prerequisite for poverty alleviation.
Education also brings equity in society.
ASA works for poverty reduction,
simultaneously envisioning a society with
equal opportunity for all. Keeping all this
in view ASA embarked on helping to
educate
the
children
of
poor
households. With a view to extending
support to them so that they can also be
imparted unhindered education as
those of the privileged households, ASA
came up with its Primary Education
Strengthening Program (PESP). This
program has been helping the poor
students to cope with their usual learning
difficulties and continue study that has
resulted in checking dropout at primary
school level to a significant extent.
This is very useful to those students

because their parents are usually not as
educated as to help their wards in
preparing home task and lesson.
Each PESP learning centre has a mentor
who conducts a two-hour class at a
convenient time six days a week. During
2013-14 PESP supported 120 thousand
underprivileged students through 2400
learning centres. Next year 180
thousand underprivileged students will
be brought under this program by
opening 7200 additional learning
centres across the country. ASA has a
plan to further extend the PESP bringing
in more students and thereby facilitating
education for the poor.
Under this program, supplementary

tuition is provided to children of
marginalized
families
studying
at
pre-primary, grade 1, and grade 2 levels.
20
Physiotherapy Program
Preventing perennial
suffering
A considerable number of people in the
country lose their workability in part or full
before reaching middle age and suffer
for the rest of their lives due to such
ailments as spondylosis and arthritis,
debilitating pain in the neck, back, waist,
knee etc. Reasons can be attributed to
lack or initial awareness, lack of
balanced food intake and malnutrition,
excessive physical labor etc. Proper
treatment for such diseases is physiotherapy. But as physiotherapy treatment facilities are inadequate and
costly in the country, the poor are generally unable to afford that. Consequentially they often fall victim of permanent
ailment and become a burden to their
families and just cannot get out of the
poverty trap.
Considering this plight of low income
people, ASA initiated physiotherapy
program to provide necessary service

at the poor patients' doorsteps by
arranging physiotherapy camps across
the country on regular basis.
During July 2013 - June 2014

period 11,088 patients
including 8,064 women were

provided with physiotherapy
treatment in different backward
areas of the country. Treatment
of diseases in these camps also
included arthritis and rheumatoid
arthritis, spondylolis and pains,
etc.
Health Awareness Program
Good health is the source

of all happiness
In our country the poor and the vulnerable are often sufferers of repeated
ailment and ill-health. This is a serious
hindrance to their workability. Lack of
knowledge and information prevent
people belonging to poor and illiterate
households from taking proper measures
against even common diseases. This
seriously hampers their lives and livelihood as well as earning. Recurring illness
pushes them to fall victim of continuous
ill-health. This health problem of the poor
is a major challenge to poverty alleviation. Poor workability and continuation
of poverty simply prevent the incumbent
from achieving self-reliance.
The public health status of the majority in

the country as stated above remains a
matter of concern. ASA with a pledge
for making poverty-free society pursues
a consciousness raising program to
reduce health hazard and maintain
sound health among its clients predominantly bracketed in low income and
uneducated segment of the society.

ASA's Health Awareness Program
adopts measures to provide them basic
knowledge about general and communicable diseases, making and keeping
households aware of nutrition and nutritious
food,
maintaining
personal
hygiene, taking proper care of pregnant mother and kids, etc.
The program provided

necessary services to its
five million members
motivating them with
essential health
awareness enhancing
measures towards
maintaining sound
health.
22
HEALTH-WELFARE
PROGRAM
The Health-welfare Program of ASA has been

offering financial assistance to the ailing
members, staff and their families to bear the
treatment expenses of the diseases they are
suffering from. Treatment costs are comparably
high in accordance with the earning of the poor
and the lower middle class of the country. In
consequence, a large number of people either
are compelled to remain out of medical service
or get inadequate treatment facilities that
resulted in physical disability and even
premature death to them. This is a big
socio-economic problem of the country in its
march to reduce poverty and to attain
economic development as well. Under the
reality, ASA initiated the program to provide
financial assistance to its clients, staff and their
family members to meet treatment costs.
Through the program Tk 25,147, 051 has been
offered as grant to the ailling members during
2013-2014 fiscal year.
Tk.
25,147,051
Provided as
Health Assistance
to the clients
ASA
Microfinance
GRANTS-FREE
Self-explanatory
Cost-efficient
Education Forward-looking
WaterSimple Decentralized
Development HEALTH
Least-hirearchical Innovative
Philanthropic Remittance
People-oriented
Transparent
Participatory
Agribusiness Sanitation
Hygiene
Sustainable
24
New Initiatives
Of 2013-2014
Water and Sanitation Program

ASA has initiated Water and
Sanitation
Program
to
develop sanitation facilities
and improve access to pure
drinking water to the people
of lower segment of the
society. The program went in
operation in March of 2014.
This
program
aims
at
supporting the low income
and poor people in installing
sanitary toilets in their houses
and extending facilities of
pure water to the people
living in the areas suffering
from water scarcity.
The program focuses on the
under-mentioned objectives;
A) Innovate befitting toilet
technologies and solutions
for the poor households
and train up the sanitary
entrepreneurs, traders and
field workers to improve
their skill.
B) Provide loan with flexible
terms and with less
interest to the sanitary

entrepreneurs and traders.
C) Offer soft loan to the

poor and low income
people so that they can
purchase sanitary toilets.
D) Change the mode of
sanitation business as a
social business.
Under the program 150
sanitary entrepreneurs and
traders of six districts of the
country were trained in last
quarter of 2013-14 fiscal
year. Besides, an amount of
Tk. 24 lacs loan was
disbursed
among
52
entrepreneurs, traders and
users during the aforesaid
period as well.
The Water and Sanitation

Program has provided an
allocation of Tk. 1.85 crore for
developing expertise of the
stakeholders and the target
people
by
conducting
necessary training, workshops
and exposure visits. It has set a
target of disbursing loan
amounting to Tk. 4.6 crore
and make the people aware
through various programs and
events
portraying
the
importance of sanitation for
maintaining healthy life of the
common people in the
coming year.
New Initiatives
Of 2013-2014
Integrated Health and Education

Program
In March 2014, ASA started
Integrating
Health
and
Education Program on pilot
basis with a mission to
improve health condition of
the poor people by offering
medical
service
for
preventing general and
communicable diseases and
raising health awareness.
Besides, the program gives
opportunities for patients to
identify
various
physical
problems through check up
facilities including blood
pressure and blood sugar
test,
measuring
body
temperature and monitoring
growth of children etc. Up to
June 2014, Integrated Health
and Education Program
extended its outreach to 40
ASA- branches within the
jurisdiction of 21 districts of
the country. Six Sastha-Sikkha
Sebikas
(Health-Education
Assistant)
have
been
assigned in each branch to
render
service
to
the
targeted
population.
Sastha-Sikkha
Sebikas
provide health services in
group
meetings
that
generally take place in the
yard of ASA borrowers. Local
residents even not being
ASA clients are also served
with equal attention and
care.
107,000
Highlights:
patients
MEDICAL
FACILITIES during
MARCH-JUNE
quarter of 2014 from
Enjoyed
Integrated Health and

Education Program of
ASA
26
New Initiatives
Of 2013-2014
Extended Health Program
To widen primary healthcare facilities to the

remotest and backward areas of the
country where state owned and other
public or private health services are
inadequate or not functioning somehow,
ASA launched Extended Health Program
since July 2013 in those regions.
Under the program, 17 Primary Health
Centers in 11 districts were established in
2013-14 with facilities of doctor, medical
assistants, paramedics, volunteers and
essential medicines at subsidized rate. At
present, these Health Centers are catering
primary healthcare services to the patients
in full swing. Besides, health checking
facilities including pregnancy test, blood
sugar test are also being provided under the
program to benefit patients with due
importance and care.
Highlights:
Extended Health Program has

successfully rendered primary
healthcare services to
29,000
patients during
2013-14.
Training is an important component of ASA microfinance program.

The organization arranges training sessions for its different levels of staff
regularly.
28
Research and
Documentation
Research section of ASA is responsible for carrying out action-oriented

surveys and studies on issues that are exclusively connected with the
programs under implementation in the organization. The purpose of the
studies is to identify weakness of those programs and services and to
suggest recommendations for correcting and improving them. These
studies are basically directed towards finding ways and means so that
ongoing programs could deliver expected level of quality service to the
targeted population. Under the direct supervision of this section, the
following research works were conducted during the 2013-14 period:
A)
B)
C)
D)
Reasons for increasing overdue in Special Loan product;

Causes of dropout in ASA microfinance program;
Reasons for increasing absconding borrowers and remedies;
Challenges, threats, strategies and approaches on risk management
for smallholder farmers and communities: The ASA experience.
A number of documents including research reports, booklets, books and

newsletters were published during 2013-14. Some were regular publications i.e.
Annual Report, Half-yearly report, Newsletters etc. and others were based on
research. The research documents were prepared on the outcome and results
of the action-oriented researches and studies. A list of some of these documents
is presented in the following page.
Year ending report
Short report on ASA activities
This book focuses on the problems of

small-holder farmers of Bangladesh.
Bangla version of A microcredit crisis averted:

The case of Bangladesh.
Newsletter in bangla language.
Newsletter in english language.
30
Exposure and
Internship
The organization welcomed 35 guests from different countries across the

world as exposure visitors during the year 2013-14. The visitors called on
senior level central officials, had meetings with field officials and clients
of ASA as well. The visitors paid visit to the projects to gather firsthand
knowledge about income generating activities of ASA borrowers. These
visits enabled them to learn about the implications of micro loan
provided by ASA and livelihoods of the poor people of Bangladesh. The
visitors expressed their thankfulness to ASA for its works directed towards
the underprivileged of the country and its efforts meant for bringing
socio-economic changes in their lives.
A student from the University of Puget Sound, California, USA

completed her internship on ASA microfinance program during the
summer 2014.
A 15-member chinese delegation from CFPA Microfinance, China

called on ASA President during its visit at ASA.
32
TECHNICAL ASSISTANCE (TA) Services

Managing Microfinance Program Internationally
Technical
Assistance
(TA)
Services of ASA have been in
operation for over two decades
in the international arena. The
service was started 1993 in
Cambodia hired by HEKS. Since
then TA service of ASA delivered
in 30 countries where many
NGOs and MFIs adopted ASA
methodology in their microfinance operation as a tool for
poverty alleviation effort.
has been following this approach

in its administrative tiers from
central office to branch level.
Besides, ASA always gives highest
priority in reforming the program
in response to the time and
needs and never hesitates to
take quick decisions at any
situation. These features turn ASA
to transform itself as the most
efficient microfinance model of
the world.
ASA model attracted attention

of so many countries and organizations from around the world for
its efficiency and sustainability in
managing microfinance operation in quickest possible time. For
instance, a branch can reach to
profitability in 9 to 12 months if it
follows ASA method properly.
The secret of success of the
model lies in its very simple and
lean structure and administrative
pattern which can serve at
minimum cost. The organization
ASA
International
Holding
Company, registered in Mauritius
is a for-profit company owned by
Dutch, British and the US investors.
ASA is managing the operation,
accounts, finance and training
thereby scale up its outreach by
deploying Bangladeshi experts
with
payments
from
the
company through an agreed
MoU.
PHILIPPINES
Continent: ASIA
Population: 100 million
Programme: Micronance Program
MYANMAR
Continent: ASIA
NIGERIA
Continent: AFRICA
ASA
TA
service
is
being
implemented in managing microfinance
globally
through
development of skill manpower,
automated system, training and
providing accounts and audit
related services through ASA
International, a Mauritius based
organization.
The TA services and international
management efforts have been
undertaken in a number of countries including India, Pakistan, Sri
Lanka,
Cambodia,
the
Philippines, Myanmar, Ghana,
Nigeria, Uganda, Kenya and
Tanzania. At present, 79 skilled
staff of ASA are staying to these
countries for implementing microfinance program and providing
services to 6,85,121 poor people
in
their
poverty
alleviation
ventures.
UGANDA
CAMBODIA
Population: 35.8 million
Continent: AFRICA
Continent: ASIA
KENYA
Continent: AFRICA
TANZANIA
Continent: AFIRCA
PAKISTAN
Population: 444.9 million
INDIA
Continent: ASIA
Population: 1,210 million
Continent: ASIA
GHANA
Continent: AFRICA
SRI LANKA
Continent: ASIA
34
Hope
for
the
Poorest
(HP)
(A Sister Concern of ASA)
With a motto for caring the uncared Hope for the Poorest (HP), a sister
concern of ASA has been working since 2010 to provide some necessary
services on health, hygiene and sanitation to the poor people living in the
natural disaster prone, isolated, underdeveloped and economically
disadvantaged areas of Bangladesh. The organization deals with the
following programs and projects at present.
ASSOCIATED
ORGANIZATIONS
Primary Health
Care Services (PHCS)
Water, Sanitation and

Hygiene (WaSH)
Capacity Building and

Marketing Support to
Small Scale Sanitation
Entrepreneurs (CBMS)
SANTE Project
Some of the important activities and services that HP has extended to the
underprivileged during the period of June 2013 to July 16, 2014 are
portrayed here.
Primary Health Care Services
Under the program 24,827 patients of 10 districts were

provided different healthcare services through its 10 Primary
Health Clinics. The centers have been providing basic health
care services like antenatal care (ANC), postnatal care (PNC)
and limited curative care. Besides, few diagnostic tests like
diabetic and pregnancy tests are also performed and
necessary medicines are also being sold at a subsidized price
(10% lower than the market price).
Clinic
No.
10
Ante natal Child Care

Care Service
4044
5717
Hygiene Promotion session
General
Patient
11823
Diabetic Test
3155
Nebulization
88
Total
Service
Recipients
24,827
Water, Sanitation and Hygiene (WaSH)

HP has been implementing WaSH project in the slum areas of
Bagerhat and Sathkhira Municipalities. This 5- year duration
project (2011-2015) has a target to improve water facilities
and sanitation condition for 50 thousand slum dwellers of the
two coastal towns.
Hygiene Promotion Activities
Under the project hygiene promotion activities are being conducted at community level. A number
of 1800 women, 270 adolescent girls and 600 children were given hygiene education through 98
organized sessions. Besides, a number of 1080 students of primary and secondary level were
apprised on importance of hygiene through school WaSH club during the period.
Kishori Show Room
Kishori (Adolocent girl) Show Room

ASSOCIATED
Under the Hygiene Program two sanitary napkin production and

promotion centers named Kishori have been serving in the project areas.
Kishori produces and sells 6000 packets of low cost sanitary napkins during
the 2013-14 fiscal year.
ORGANIZATIONS
Health and Hygiene Promotion Session
HP conducted 1000 awareness raising sessions on health and hygiene which involved 15,000
people of the locality. Besides health and hygiene issues, these gatherings conveyed messages
regarding reproductive health and menstrual hygiene management to the participants.
Eye Care Camp
Eye Care Camp
Two eye camps were organized at ASA Narapoti Health Complex in

Chunarughat Upazila of Habigonj District and at HP Aruail Health
Center in Sarail Upazila of Brahmanbaria District with HP initiatives
during the year 2013-14. More than four thousand eye patients
attended these two camps. Among them 800 patients had been
provided operational services and the rest were provided with
eye-glasses and other necessary treatments.
Sanitation Entrepreneurship Development Project
HP is implementing Steps for Sustainable Sanitation Services (4S) project to create demand for
improved hygienic latrine among the poor households as well as to develop capacity of the small
scale sanitation entrepreneurs and innovate befitting sanitary toilets and technology. For
implementing the aforesaid mission of HP, a wide range of activities has been taken under the
project. These are: Basic training for the sanitation entrepreneurs, Follow up training for the
sanitation entrepreneurs and Exposure visits, Marketing support, Loan disbursement, etc.
Moreover, HP marked the year 2013-14 by arranging and observing a range of programs and
activities in different places of the country to demonstrate and uphold the importance of
sanitation, hygiene and safe drinking water for a sound health and better life.
36
ASA Medical Assistant Training School

ASA Medical Assistant Training School (ASA-MATS) established by ASA at Noman Nagar,
South Narapati, Chunarughat, under Habigonj district, (150 kilometer away from Dhaka)
started its function since January 2014 with an aim to develop quality manpower that will play
a vital role in providing healthcare services to the underprivileged segment of the country.
The formal inauguration of ASA-MATS took place in March of 2014, where students and their
guardians, government officials and local people were present. Senior Deputy President of
ASA M Abdul Aziz inaugurated ASA-MATS ceremonially.
Before starting academic activity the institute got

approval from the Ministry of Health and Family
Welfare of Bangladesh Government (MOHFW)
and also obtained recognition from State Medical
Faculty of Bangladesh (SMF). The procedure of
admission and other academic activities of
ASA-MATS are being carried out as per rules and
regulations of the country. In its very first batch, 39
students from different parts of the country got
admitted. Foreign students can also be enrolled in
the institution with proper permission and approval
of the proper authorities.
Authority of developing course curriculum, evaluation of teaching methodology, conducting

examinations and awarding certificates are matters exclusively under the overall charge of
the State Medical Faculty (SMF), Bangladesh. The curriculum of ASA-MATS has been
structured to maximize learning opportunities of health problems faced by the people from
both rural and urban areas. This includes extensive field-based instructions accompanied by
interactive classroom based work in teams. Faculty members of the institute are highly
professional and experienced in relevant field with brilliant academic and research records.
The institute is using latest medical technologies and equipments in its teaching-learning
process. Besides, students of the institution have adequate opportunities to participate in
extracurricular activities.
38
ASA University Bangladesh (ASAUB)

Centre for Academic Excellence
ASA University Bangladesh (ASAUB)

Centre for Academic Excellence
The journey of ASA University Bangladesh (ASAUB) began in October 23, 2006 with a
mandate of upliftment for academic activities and various social commitments for
the national development as well. The founder and President of ASA, Mr. Shafiqual
Haque Choudhury, who was also the former Advisor to the Caretaker Government,
established the private university with a view to provide quality education at an
affordable cost for the middle class and underprivileged. Professor Dr. Dalem Ch.
Barman, who was the founder Chairman of Department of Peace and Conflict
Studies of the University of Dhaka is now the Vice Chancellor. Under his able
leadership and skill, ASAUB has been working towards fulfillment of its objective.
The vision of ASA University Bangladesh is to provide opportunity to higher
education enabling students to enhance knowledge and skills necessary to
achieve their professional goals, improve the productivity of their organization, and
provide leadership and service to their communities.
40
ASAUB offers a wide range of co-curricular activities and events such as seminars,
work-shops, symposium and socio-cultural activities that include public speaking,
debate competition, drama and music celebration. One such celebrated program
was ICC T -20 world cup theme song flash mob. ASAUB also celebrated the birth
anniversaries of poets Rabindranath Tagore and Kazi Nazrul Islam. ASAUB Clubs
contributed to social activities such as making documentary film on street-urchin
garbage collectors, donating blood, distributing clothes to the poor and observing
World Environment Day.
ASAUB has included in the list of offered

degrees adding Bachelor of Pharmacy,
BSS in Applied Sociology and Masters in
Public Health. There are plans to expand
the Faculty of Science and Engineering
by the addition of B.Sc. in Electrical &
Electronics
Engineering,
B.Sc.
in
Electrical
&
Telecommunication
Engineering and Computer Science
Engineering degrees. Other addition of
new degrees includes MDS & MSS in
Applied Sociology, BSS and MSS in
Journalism and Mass Communication
under the Faculty of Arts and Social
Science.
At the beginning of new millennium, ASA University
Bangladesh has been striving its level best for
getting
adjusted
with
ever-changing
socio-economic
environment.
Advanced
technology and learning experience are its
priorities so as to make all the graduates prepared
to meet requirements of the competitive job
market. With a view to impart the best possible
education at the tertiary level, ASA University
Bangladesh focused on innovate teaching.
ASAUB is always ready to meet the
challenges not only for ongoing generation,
but also emphasizes the future leadership
generation.
ASAUB successfully orchestrated the following programs

and activities during the first half of 2014:
Seminar on Food Adulteration and its Prevention in June 2014, organized by Pharmacy
Department, ASAUB.
The Journey of On-line Writing Club Bangladesh in March 2014.
Workshop on Improving English Language Skill in April 2014.
Seminar on The International Day of Remembrance of the Victims of Slavery and the
Transatlantic Slave Trade in March 2014 jointly organized by United Nations Information
Centre and ASAUB.
Discussion on Bangabandhu Shiekh Mujibur Rahman in March 2014.
Fresher Reception Program in March 2014.

International Mother Language Day in 21 February, 2014.
Workshop on Outsourcing in February 2014, jointly organized by GATCO Digital Limited and
ASAUB.
Premiered a documentary film on Life behind Garbage - on the life of garbage collectors,
in April 2014.
Workshop on English Language skill development through blogging jointly organized by

ASAUB and Outline Writing Club Bangladesh in April 2014.
Discussion on Awareness program on womens right to mark Womens Day on 8th March
Food and cloth distribution program among the orphans organized by Students of MBA
program of ASAUB in May 2014.
Seminar on Solid Waste Management jointly organized by Swiss construct- South Asian
Regional Office and ASAUB in June 2014.
Scientific Seminar on Breast Feeding Practice of Mother having children under two
years old in 30 May 2014, organized by Public Health Department, ASAUB.
ASA University Bangladesh is playing its role not just exploring the resource management but
also contemplating on how best it can involve its students in the nation building activities to
the highest extent.
ASAUB Present Status
The university admits students at three different starting dates in a year providing students
wonderful opportunity to join a suitable program at their convenience.
At present, the university offers the following programs under four Faculties:
Faculty of Business Administration -BBA, MBA (Regular & Executive)
Faculty of Science & Engineering- B.
Faculty of Arts, Social ScienceApplied Sociology.
Faculty of Law LLB
Pharm, M.PH
BA (Hons) in English, MA in English(1yr & 2 yrs), BSS in
(Hons), LLM
Total 4,020 students are studying at ASAUB in different programs.

Total number of full-time faculty
Total number of officers
members : 70.
: 60.
Total number of supporting staff:
29.
42
EVENTS
ASA President is addressing in a DM

coordination meeting.
Events Of 2013-
ASA President is handing over

Laptop computers to the district
level officials.
Distribution of warm clothes among

the poor and disadvantaged.
Women employees of ASA took

part in a rally that was arranged
for observing International
Womens Day 2014.
-2014
ASA President feeds a kid Polio capsule as

a part of National Polio Feeding Program.
EVENTS
ASA President inaugurates rally of International

Womens Day 2014.
44
Sl.#
DESCRIPTION / COVERAGE
Total Number of Branch Offices
Total Number of Villages
2,931
63,837
Total Number of Upazila / Thana
Total Number of Districts (All Districts in Bangladesh)
511
Total Number of Active Groups
64
(Function as a collection center) - Primary

6
224,219
Total Number of Active Members
: Primary
97.04%
4,880,749
(end of the month)
: Special
2.96%
148,644
: Sanitation
0.00%
20
5,029,413
Number of Longterm Savings A/C ( 82.24 % of active borrowers)
3,655,006
Total Number of Capital Buildup Savings A/C
4,990,272
Savings (end balance in Taka)
: Primary
39.86%
11,310,930,586
: Special
6.63%
1,881,403,724
: Sanitation
0.00%
63,552
37.57%
10,660,934,943
: LTS
: CBS
15.94%
4,524,793,189
97.05%
4,313,199
: Special
2.95%
130,989
: Sanitation
0.00%
15
: Solar
0.01%
258
10 Total Number of Active Borrowers : Primary

(end of the month)
11 Loan Outstanding (with service charge) :
Taka
Taka
854,452,742,358
Realized (cumulative)
Taka
789,332,053,333
13 Rate of Recovery (cumulative)
4,444,461
65,120,689,025
Disbursed (cumulative)
12 Loan Outstanding (Principal in Taka) :
28,378,125,994
59,290,107,761
99.63%
14 Number of Full-time Staff :
20,294
15 Number of Part-time Staff :
4,665
16 Total Number of Staff :
24,959
NATIONAL COVERAGE
NEPAL
Panchagarh
Thakurgaon
Lalmonirhaat
Nilphamari
Dinajpur
Kurigraam
INDIA
INDIA
Rangpur
Gaibandha
Jaypurhaat
Sheerpur
Jamalpur
Naogaon
Sylhet
Sunamgonj
Netrokona
Bogura
C Nawabgonj
Maymanshing
Kishorgonj
Rajshahi
Mouluvibazar
Natore
Habiganj
Sirajgonj
Narshingdhi
Pabna
Brammanbaria
Tangail
Kustia
Rajbari
Gazipur
Manikgonj
Meherpur
Narayanganj
Jhinaidaha
Chuadanga
DHAKA
Magura
Faridpur
Munshigonj
Jessore
Narail
Madaripur
Chandpur
Comilla
Khagrachhari
Shariatpur
Laxmipur
Feni
Gopalganj
Noakhali
Rangamati
Barishal
INDIA
Sathkhira
Jhalakathi
Khulna
Chittagong
Bagerhat
Patuakhali
Pirojpur
Bhola
Bandarban
Borguna
BAY OF BENGAL
Coxs Bazar
MYANMAR
Districts
Upazila/Thana
Branches
64
511
2,931
46
PROJECTION for 2014-2015

Reaching 5.5 million people with financial
services worth Tk. 12,000 crore (USD 1.5 billion)
and
Extending outreach of health, education, water
and sanitation etc, under non-financial
programs to more deserving localities and
people across the country from own income,
setting a glaring example of donation-free
microfinance plus program in the world.
FINANCIAL
STATEMENTS
Income
During FY 2013-14 the earning of the
organization was Tk. 17,636.93 million. This
income includes Tk.14,433.06 million from
service charges, Tk. 2,565.08 million from
banks interest, Tk. 70.93 million from loan
processing fees and Tk.567.86 million, others
sources such as proceeds of selling
publications, used news papers and earning
through consultancy services, etc.
Expenditures
The total expenses of ASA during 2013-14
was Tk. 9,087.69 million, including personnel
expenses Tk. 5,285.14 million, office expenses
Tk.774.32 million, Tk. 2,141.12 million financial
costs, Tk. 687.70 million loan loss provision and
Tk. 199.41 million other costs. The net margin
at the end of 2013-14 was Tk. 8,549.24 million.
Sources of Fund
As an absulate donor-free organization ASA
attained full financial self-depency since
2000. The total fund of ASA for operating
microfinance services was approx Tk.
93,235.37 million at the end of 2013-14. This
comprises of retained earnings (including
reserve fund) Tk. 59,992.88 million, members
savings Tk. 28,378.13 million, loan insurance
Tk. 3,103.14 million and loan from Bank loan
Tk. 1,761.67 million.
Service charges
Others
Processing fees
Banks interest
INCOME
Personnel expenses
Others costs
Loan loss provision
Financial costs
Ofice expenses
EXPENDITURES
Retained earnings
Bank loan
Loan insurance
Members savings
SOURCES
of
FUND
Khan Wahab Shafique Rahman & Co.

Chartered Accountants

51

ASA
Consolidated Statement of Financial Position
As on 30 June 2014
PROPERTIES & ASSETS
Fixed Assets (At Cost Less Accumulated Depreciation)
Loan to ASA-Partner NGOs
Long-term Portion of Staff Housing Loan to Employees
Notes
3
4
7
Current Assets
Outstanding Loan
AMOUNT (IN TAKA)

30.06.2014
30.06.2013
495,981,298
56,548,493
50,027,554
484,311,358
59,775,421
63,412,485
93,998,811,793
79,195,694,804
57,192,509,876
54,194,090,033
Loan Disbursed with Service Charge
854,452,742,358
736,956,519,485
Loan Recovered with Service Charge
(789,332,053,333)
(675,564,679,915)
65,120,689,025
61,391,839,570
Loan Outstanding with Service Charge

Less: Un-realized Service Charge
5.1
5,830,581,264
5,657,863,049
5.2
59,290,107,761
2,097,597,885
55,733,976,521
1,539,886,488
Loans, Advances and Prepayments
2,847,507,591
2,303,345,630
Current Portion of Staff Housing Loan to Employees

Advance Income Tax
Rent & Other Receivables
Other Current Assets
Investment in Fixed Deposits Receipts (FDR)
7
8
9
10
11
10,622,784
28,470,142
42,496,363
5,321,617
10,624,980
11,036,268
139,856,793
1,963,570
30,774,156,132
18,673,764,054
Cash and Bank Balance
12
3,097,727,290
3,861,013,476
94,601,369,139
79,803,194,068
13
14
15
49,017,353,033
10,975,529,038
3,103,138,268
41,323,038,896
9,123,705,138
2,624,180,824
27,702,331,862
23,002,679,644
Members' Savings
Loan from CORDAID, Netherlands
Loan from ADB (Agri Business)
16
18
19
26,959,219,694
183,875,419
22,277,025,020
1,280,881
211,674,021
Employees' Benefits Fund
20
347,588,620
307,559,964
Employee's Security Deposits
21
211,648,129
205,139,759
3,803,016,938
3,729,589,567
16
18
19
20
21
22
23
24
25
26
27
1,418,906,300
377,798,607
18,294,138
11,139,375
550,149,813
105,379,016
4,947,405
35,086,463
81,315,820
1,200,000,000
1,172,475,001
3,830,061
418,071,668
16,187,367
10,796,829
329,433,878
712,685,424
5,432,805
2,842,756
57,833,777
1,000,000,000
94,601,369,139
79,803,194,068
Principal Loan Outstanding

Less: Loan Loss Reserve
Total Properties & Assets

FUND AND LIABILITIES
Capital Fund
Reserves
Members' Insurance Fund (loan)
Long-term Liabilities
Current Liabilities
Members' Savings
Loan from CORDAID, Netherlands
Loan from ADB (Agri Business)
Current Account with Employees' Gratuity Fund
Current Account with Employees' Provident Fund
Earnest Money & Security Deposits
Provision for Expenses
Accounts Payables
Loan from Commercial Bank
Total Fund & Liabilities
The annexed notes form an integral part of the Consolidated Statement of Financial Position.

ASA
Consolidated Statement of Comprehensive Income and Expenditure
For the year ended 30 June 2014
Notes
AMOUNT (IN TAKA)

2013-2014
2012-2013
INCOME
Gross Service Charge
28
14,433,058,620
Less: Financial Costs
29
2,141,122,537
1,826,722,162
12,291,936,082
12,136,527,854
Net Service Charges

Loan Processing Fee
13,963,250,016
70,925,975
66,978,446
Bank Interest
30
2,565,081,249
1,569,143,596
Other Operating Income
31
392,548,199
383,640,295
Technical Service Charge
32
24,033,941
47,883,106
15,344,525,446
14,204,173,297
6,119,617,251
5,333,826,374
9,224,908,195
8,870,346,923
Total Operating Income

Less:
Operating Expenses
33
Net Operating Income Before Loan Loss Provision

Loan Loss Provision
5.2
Net Operating Income Before Appropriation
687,701,545
619,575,385
8,537,206,650
8,250,771,539
153,549,899
Add: Non-Operating Income
34
148,697,185
Add: Non-Operating Income from Social Projects
35
2,581,494
2,487,272
Less: Non-Operating Expenses
36
60,125,617
56,585,795
Less: Non-Operating Expenses of Social Projects
37
Net Income Before Provision for Income Tax

Provision for Income Tax
Net Income Before Appropriation
47,561,782
5,045,935
8,580,797,931
8,345,176,980
31,560,000
9,847,394
8,549,237,931
8,335,329,587
854,923,793
833,532,959
Appropriation:
Statutory Reserve Fund @10% on Net Income
Capital Fund
7,694,314,138
7,501,796,628
8,549,237,931
8,335,329,587
The annexed notes form an integral part of the Consolidated Statement of Comprehensive Income and Expenditure.
53

ASA
Consolidated Statement of Cash Flows
Particulars
Notes
Notes
AMOUNT (IN TAKA)

2013-2014
2012-2013
A. Cash Flow from Operating Activities

Excess of Income Over Expenditures (surplus)
Other Cash from Operating Activities & Items Not Involving Cash 38
Loan to Partner NGOs (Net)
Loan Disbursements
Loan Collections
Advance Income Tax
Net Cash Flow from Operating Activities
8,549,237,931
1,626,181,294
3,226,928
8,335,329,587
(638,944,879)
3,780,864
(102,639,747,000)
(96,182,666,000)
98,953,625,612
(17,433,874)
95,196,508,851
(20,383,662)
6,475,090,891
6,693,624,761
B. Cash Flow from Investing Activities

Acquisition of Fixed Assets
(71,828,598)
Investment in Fixed Deposits Receipts

Net Cash Flow from Investing Activities
(26,771,234)
(12,100,392,078)
(13,968,650,391)
(12,172,220,675)
(13,995,421,626)
(5,110,942)
(10,156,092)
C. Cash Flow from Financing Activities

Loan (Paid to)/Received from CORDAID
Loan from ADB (Net)
(68,071,663)
Loan from Commercial Bank (Net)
200,000,000
1,000,000,000
4,928,625,973
4,205,249,622
478,957,444
550,804,328
Savings Deposits (Net)

Members' Insurance Fund (Net)
Increase/(Decrease) in Other Funds
39
Net Cash Flow from Financing Activities

Net surplus/ (deficit) in Cash in Hand and at Bank (A+B+C)
Cash and Bank Balance at the beginning of the year
Cash and Bank Balance at the end of the year
(600,557,214)
4,933,843,598
(763,286,186)
476,809,977
6,277,671,842
(1,024,125,023)
3,861,013,476
4,885,138,499
3,097,727,290
3,861,013,476
The annexed notes form an integral part of the Consolidated Statement of Cash Flows.
Component-wise Statement of Cash Flows is given in Annexure-C-1.
54,964,009

ASA
Consolidated Statement of Receipts and Payments
Notes
AMOUNT (IN TAKA)

2013-2014
2012-2013
Receipts
Opening Balance:
Cash in Hand
22,534,777,530
12
Cash at Bank
9,590,252,162
94,073,224
249,771,832
22,440,704,306
9,340,480,329
Deposit with SND & Other Accounts
12
3,766,940,251
4,635,366,667
Fixed Deposit Receipts
11
18,673,764,054
4,705,113,663
113,386,684,232
109,159,758,867
Loan Recovered:
Principal
98,953,625,612
95,196,508,851
Service Charges
27
14,433,058,620
13,963,250,016
Loan Refund from Partner NGOs
20,826,928
17,880,864
Loans, Advances and Prepayments Realized
3,951,412,199
3,334,526,201
Housing Loan Realized from Staff
14,799,326
15,527,078
10.1
10.2
1,145,565
27,064,298
24,251,196
Members' Loan Insurance Fund
15
736,108,868
781,869,733
Members' Savings
16
18,508,993,228
15,631,556,283
Other Liabilities
17
Stock of medicine
Advance Rent
9,681,842
19.1 & 19.2
350,000,000
300,000,000
20
45,237,150
45,932,850
21
3,831,000
3,027,000
Employee's Gratuity Fund
22
277,787,963
1,355,775
Employees' Provident Fund
23
491,434,186
574,108,831
Loan from Commercial Bank
24
500,000,000
1,500,000,000
70,925,975
66,978,446
2,565,081,249
1,569,143,596
141,361,257
60,907,482
Loan from ADB (Agri-Business)
Loan Processing Fee

Bank Interest
30
Rental Income
Service Charge
Accounts Payable
99,254,707
46,233,215
7,547,551,615
7,553,030,651
Security & Earnest Money
24
117,625
951,496
Receipts from ASA Technical Service
32
145,657,519
165,416,128
2,581,494
2,487,272
392,569,813
387,864,991
Receipts against Income of Social Projects

Other Receipts
Total
171,815,203,726
150,842,741,959
Continued....
55

Particulars
Notes
AMOUNT (IN TAKA)

2013-2014
2012-2013
Payments
Payment to ASA NGO Partnership Programs
17,600,000
14,100,000
Loan Disbursement (Principal)
102,639,747,000
96,182,666,000
1,412,199
Housing Loan Paid to Staff

Paid against payable for ATS
9.3
Stock of medicine
10.1
Advance Rent Payment
1,127,753
2,387,723
23,937,208
-
10.2
30,440,157
25,955,382
Members Insurance Fund (Loan)
15
257,151,424
231,065,405
Members' Savings
16
13,580,367,255
11,413,334,399
Other Liabilities
Loan Repayment to CORDAID, Netherlands
17
18
5,110,942
22,654,104
10,156,092
418,071,663
245,035,991
3,101,722
4,754,463
Installment paid to Agri-Business Loan

19.1 & 19.2

20
21
3,903,480
7,343,500
Employee's Gratuity Fund
22
57,072,028
2,033,873,846
97,962,560
Employees' Provident Fund
13
1,098,740,594
Payment against Provision for Expenses
25
2,842,756
3,049,757
Installment Paid to Commercial Bank Loan
27
300,000,000
500,000,000
Operating Expenses:
Personnel
Office Expenses
Fixed Assets Purchased
Financial Costs:
Members Savings
Interest on Agri-Business Loan
Interest on Commercial Bank Loan
CORDAID Loan Fund
Employees' Security Deposit
6,112,999,476
5,327,144,495
5,304,107,751
4,592,402,352
808,891,725
734,742,143
71,828,598
26,771,234
1,137,299,034
874,735,446
967,602,556
718,943,668
43,804,683
43,573,517
105,783,333
61,325,000
271,640
891,181
2,442,890
4,412,214
17,393,932
45,589,866
Loan & Advance
4,495,574,159
3,594,919,601
Accounts Payable
7,523,891,680
7,521,303,634
15,250,000
603,025
47,561,782
19,000,000
3,185,436
5,095,131
Provident Fund Account
Advance Income Tax

Security & Earnest Money
Paid against Expenses of Social Projects
24
Payment for ASA Technical Service
32
121,623,578
117,533,022
33,871,883,421
22,534,777,530
12
80,924,691
33,790,958,730
3,016,802,599
94,073,224
22,440,704,306
3,766,940,251
11
30,774,156,132
18,673,764,054
Closing Balance:
Cash in Hand
Cash at Bank
Deposit with SND & Other Accounts
Fixed Deposit Receipts
12
171,815,203,726
150,842,741,959
The annexed notes form an integral part of the Consolidated Statement of Receipts and Payments.
Component-wise Statement of Receipts and Payments is given in annexure-D-1.

ASA
Consolidated Statement of Changes in Fund
Particulars
Notes
AMOUNT (IN TAKA)

2013-2014
2012-2013
Capital Fund
Balance as at 1st July
Prior Year's Adjustment
41,323,038,896
13.3
Addition Income over Expenditure During the Year

Transferred to Reserve Fund
8,549,237,931
13.2, 14.1.1 &

14.2
Balance as at 30 June
(854,923,793)
36,013,904,396
192,406,579
8,335,329,587
(3,218,601,666)
49,017,353,033
41,323,038,896
4,591,448,767
1,318,587,862
Reserve Fund
Balance as at 1st July
Addition Income over Expenditure During the Year
Transferred from Capital Fund
Balance as at 30 June
Total Balance as at 30 June
854,923,793
13.2
5,446,372,560
54,463,725,593
833,532,959
2,439,327,947
4,591,448,767
45,914,487,663
57

ASA
Notes to the Consolidated Financial Statements
1. Corporate Information of the ASA:
SL.
No.
Particulars
a. Name of the MFI
ASA
b. Year of establishment
1978-1979
c. Legal Entity (Registration No.)
# Societies Registration Act, No #

S-660/36 of 1978-1979 dated 17
May 1979
# NGO Affairs Bureau No # 120
Dated 14 January 1982
# MRA Registration No # 0047000538-00100 Dated 15 January
2008
d. Nature of operations (programs)
Micro-finance service including

health and education
e. Statutory Audit Conducted up to
2013-14 (July-June)
Name of statutory auditor for last year
Khan Wahab Shafique Rahman & Co
g. Name of statutory auditor for current year
Khan Wahab Shafique Rahman & Co
No. Executive committee (Governing Body) meeting held FY 2013h.

2014
4 Meetings
f.
i.
j.
Date of last AGM held
21 June 2014
List of Executive Committee (Governing Body) Members

Name & Designation
Present Address
Qualification
Profession
1. Mrs. Tahrunnesa Abdullah, Chairman
M.A.M.S, DPH
Social &
Development
Specialist
Flat # B-9, 119/1, Century Tower,

Boro Mogbazar, Dhaka
2. Mr. Mahbubul Alam, Member (Passed

on 06 June 2014)
M.A (Political
Science)
Journalist
19/C, Dhanmondi, Road#01, Bell

Tower (5th & 6th floor), Dhaka1205.
MA
Journalist
5/A Walso Tower

21 Kazi Nazrul Islam Avenue,
Dhaka.
B.Com
Social &
Development
Specialist
Shohani Bhila (2nd Floor), 20/7

Block-B, Babor Road,
Mohammadpur, Dhaka
Under
Graduate
Social &
Development
Specialist
House# 13/7/KA, Shyamoli, Road

No. 02, Mohammadpur, Dhaka.
6. Prof. Dr. Dalem Ch. Barman, Member
Ph.D
Professor
Gias Uddin R/A, 63/1, 5th floor,

Nilkhet, Dhaka
7. Prof. Dr. Nurul Islam, Member
Ph.D
Professor
Banglo- 3, Fuller Road, Dhaka

University R/A., Dhaka
3. Mr. Matiur Rahman Chowdhury, Member
4. Alauddin Ahmed, Treasurer
5. Mrs. Rabeya Akter Choudhury, Member
8. Mrs. Shirin Shanti, Member (Joined on

21 June 2014), replaced against serial
No# 2
Md. Shafiqual Haque Choudhury, Member
Secretary
Class VIII
MSS (Social
Science)
Small Entrepreneur
House #19, Road #16/4, Block
(Group Member of
#Dha, Pallabi, Mirpur, Dhaka-1216
ASA)
Social &
Development
Specialist
House# 13/7/KA, Shyamoli, Road

No. 02, Mohammadpur, Dhaka.

2.00
Summary of Significant Accounting Policies:
2.01
Basis of preparation:
The financial statements have been prepared under the historical cost convention using accrual basis of
accounting in accordance with the Bangladesh Accounting standards except for income from service
charge, interest income on fixed deposits and interest payments on loans and borrowings which have
been accounted for on cash basis. The statement of Financial position and statement of comprehensive
Income and Expenditure have been prepared in accordance with BAS-1 ' Presentation of Financial
Statement'.
2.02
Basis of Consolidation:
Up to Accounting year 30 June, 2013 there were three components of accounts namely ASA Tower,
Central and Socio Economic Credit Program (SECP). To reduce the workload and better presentation of
accounts during the accounting year ASA has merged Central & SECP making ASA Activities. So finally,
ASA Tower and ASA Activities accounts have been complied to get overall picture of ASA named ASA
Consolidated Financial Statements. The consolidated financial statements has been prepared from a
common reporting period of each individual unit ending 30th June,2014.
2.03
Cash Flow Statement:

Cash flow statements is prepared in accordance with BAS - 7 titled "Cash Flow Statements". Cash flows
from operating activities have been presented at "Indirect Method".
2.04
Statements of Change in Fund:

Statement of changes in fund is prepared principally in accordance with BAS-1 "Presentation of Financial
Statements".
2.05
Going Concern:
The accompanying financial statements have been prepared on a going concern basis, which
contemplates the realization of assets and the satisfaction of liabilities in the normal course of business .
2.06
Use of Estimates and Judgments:

The preparation of financial statements requires management to make judgments, estimates and
assumptions that affect the application of accounting policies and the reported amount of assets,
liabilities, income and expenses. Actual results may differ from these estimates.
2.07
Fixed Assets and Depreciation:

a) All fixed assets are stated at cost less accumulated depreciation as per BAS-16 ' property, plant and
equipment.' The cost of acquisition of an assets comprise its purchase price and directly attributable
cost of bring the assets to its working condition.
b) Depreciation on fixed assets is charged using straight-line method at the rates varying from 2.5% to
25% p.a. Half year's depreciation is charged on the during the period additions irrespective of the
date of acquisition.
c) Expenditure incurred for the purpose of Repair and Maintenance of Fixed Assets under each year
has been charged as expense in the Financial Statements.
d) During the year ASA donated 23 decimals of land out of 47 decimals to its Sister Concern ASA
Medical Assistant Training School (MATS). The land is originally a donated property which nominal
cost Tk.1 has been shown in the accounts. So donation of half of the land is very insignificant matter
which has not been reflected in the cost of land.
59

2.08
Loan to Group Members:

The organization is giving three types of loan to Group Members. These are Primary Loan, Special Loan
and Solar Loan.
Primary Loan:
Duration of primary loan would be three, six, twelve month, one & half years or two years and
installment may be weekly or monthly basis. Loan limit is Tk. 8,000 - 70,000. Installment of primary loan
can be paid by the borrower before it is due, but restricted by five No. of Installment for weekly payment
and one installment for monthly repayment of loan.
Special Loan:
Duration of special loan would be one, one and half or two years. Installment type is weekly or monthly.
Loan limit is Tk. 70,000 - 500,000.
Sanitation Loan:
Sanitation loan is introduced in the financial year 2013-14. This loan is disbursed to Sanitation
Entrepreneur only who has taken training from ASA. Duration of this loan would be twelve months to
twenty four months. And installment may be paid in weekly or monthly basis. Installment can be paid by
borrower before it is due and get service charge exemption like primary loan or special loans.
Solar Loan:
Green Housing & Energy Ltd. is a partnership based organization of ASA which provide solar energy to
rural people. It uses AFTA & INES technology of Taiwan & French respectively. Mass people can use it as
alternative of electricity.
2.09
Loan Written Off:

Loan considered bad/doubtful is written off half-yearly in June and December. The written off amount is
calculated on the basis of loans remaining overdue for one year plus its duration completed.
2.10
Loan Loss Provision

Loan loss provision amounting to Tk.687,701,545 has been made during the year under audit.
As per MRA recommendation loan loss provision was required Tk.2,097,597,885 as on 30 June 2014
calculation of which is as under. Amount had been already been provided upto last year i.e. 30 June
2013 was Tk.1,539,886,488 and bad debt written off amount during the year is Tk.129,990,148. So the
net amount as calculated in note# 5.2 Tk.687,701,545 has been provided in the accounts.
Loan
Classification
Standard
Watch list
Sub-standard
Doubtful
Loss
Days of
Arrears
Rate of
Provisions on
outstanding
Current (no arrears)
1%
1-30
5%
31-180
25%
181-365
75%
365-above
100%
Amount of
outstanding
(Taka)
57,117,865,761
151,633,019
494,851,545
522,530,984
1,003,226,452
59,290,107,761
Amount of
Provision
(Taka)
571,178,658
7,581,651
123,712,886
391,898,238
1,003,226,452
2,097,597,885

2.11
Investment:
Investments includes Fixed Deposits Receipt (FDR) with various banks. Its includes both short and long
term basis, interest earned on short- term FDR are being re-invested with principal amount i.e.
compounded the principal amount of FDR for re-Investment. Interest received on FDR are only
accounted as income, no accrued interest on FDR for the fraction periods (opening date to year end) has
been considered as income. No accrued interest on the scheme has accounted in the Financial
Statements.
2.12
Cash and Cash Equivalents:

Cash and Cash equivalents include notes and coins on hand, unrestricted balance held with Bank which
are subject to insignificant risk and time of changes in their fair value and are used by the ASA
management for its short-term commitments.
2.13
Liabilities & Provisions and basis of their valuation:

a)
Borrowing from banks, financial institution and agents:

Borrowing from CORDAID,Netherland and ADB (Agri Business) includes interest bearing borrowing,
which are brought to account at gross value of the outstanding as on June 30, 2014.
b)
Deposits of members:
Deposits by members are recognized when contractual provision of the arrangements with the
members which is generally on trade date and measured at the consideration receipts.
2.14
c)
Provision for Taxation:

Provision for current income tax has been made @ for individual assessee as prescribed in the
Finance Act,2014 of the accounting profit made by the ASA after considering some of the add backs
to income and disallowances of expenditure as per income tax laws in compliance with BAS-12 "
Income Taxes".
d)
Provision for Liabilities:

A provision is recognized in the balance sheet when the ASA has a legal or constructive obligation as
result of a past event and it is probable that an outflow of economic benefit will be required to settle
the obligations in accordance with the BAS 37 "Provisions, Contingent Liabilities and Contingent
Assets".
Segregation of short and long term Liabilities:

Liabilities have been segregated into long-term and current under following basis depending on the
nature of the transaction of each particular item.
Long-term
Payable after
Current
Payable within
one year
one year
95%
95%
95%
95%
5%
5%
5%
5%
According to
CORDAID Schedule
Which are payable

within next one
year
Loan from Citi N.A Bank & Standard Chartered Bank

(Commercial loan)
Bank Schedule
Bank Schedule
Loan from ADB through EBL & BASIC Bank Ltd. (agreebusiness loan)
Bank Schedule
Bank Schedule
Liabilities
Staff Security Deposits
Group Members Savings
Staff Service Benefits
Staff Group Insurance Fund
Loan from CORD AID, Netherlands
61

2.15
Employee benefits:
Provident Fund:
Provident fund benefits are given to the permanent staffs of the organization in accordance with the
locally registered Provident Fund Rules. The provident fund is recognized by National Board of Revenue
(NBR) in accordance with the section 2(52) under the First Schedule of Part - B of Income Tax Ordinance
1984.The fund is operated by a Board of Trustees. All confirmed employees of the ASA are contributing
10% of their basic salary as subscription to the Fund. The ASA also contributes equal amount of the
employees contribution.
Gratuity fund:
The ASA operates a gratuity scheme, provision in respect of which is made annually covering all its
eligible employees. Gratuity fund benefits are given to the permanent staffs of the organization in
accordance with the locally registered Gratuity Fund Rules. The gratuity fund is recognized by National
Board of Revenue (NBR) in accordance with the section-4 under the First schedule of Part-C of Income
Tax Ordinance 1984. The recognization took effect from February 02, 2010. The fund is operated by a
Board of Trustees. The employees are entitled to receipt amount of gratuity according to their length of
service that is 2 times of last basic for the service life above 20 years and 1.5 times upto 20 years of
service life.
2.16
Other employee benefits:

Insurance fund:
The ASA has a group insurance scheme to its confirmed employees and the benefits to the scheme is
available to the family of the employee on the occurrence of natural death of the employee during the
tenure of his/her service.
House Building Loan:
A permanent senior staffs can avail house building loan taking approval from president of ASA.
Provident Fund Loan:
A permanent staff can get PF Loan according to the rules of ASA as the following basis:
Completion of Service:
Up to 1 year
From 1 year to 4 years
From 4 year to 8 years
Above 8 years
% of Total Contribution:
Nil
Own Contribution
80% of Total Contribution
100% of Total Contribution
Gratuity Loan:
If any employee complete 10 years of service life he /she can get Gratuity Loan according to the rules of
ASA.
2.17
Revenue Recognition:
Service Charge Income on loan to Members:
In terms of the provisions of policy of ASA service charge (Interest) income is recognized on cash basis.
Interest on loans are being charged at the time of loan taken by the members. There after on realization
the amount are transferred to income.
Investment Income:
Income on investment in FDR is recognized on cash basis.
Fees and Commission Income:
Fees and Commission income arises on services provided by the ASA are recognized on a cash receipt

Rental Income:
Rental income from house property is recognized during the year when it is become due.
Interest paid and other expenses:
In terms of the provisions of the BAS-1 "Presentation of Financial Statements" interest and other
expenses are recognized on accrual basis.
Interest paid on deposits:
Interest paid to member on long term savings deposits are recognized on accrual basis.
2.18
Currencies
Financial statements have been prepared in Bangladeshi Taka (BDT).
2.19
Grant/Donation Accounting
ASA has not received any amount of grant/donation during the year.
2.20
Information of loans
Details information of different types of loans have been presented below:
Particulars of Loan
Terms of loan
Basic Bank Ltd. (Agri-Business Loan)

Revolving Loan
Eastern Bank Ltd. (Agri-Business Loan)
Revolving Loan
Term Loan
Standard Chartered Bank (Commercial Loan)
Term Loan
Citi NA Bank (Commercial Loan)
2.21
Tenor
Interest Rate
5 years & 2 years

5 years & 2 years
180 days
175 days
7%
7%
8.5%
8%
Policies on Savings Collection

Borrowers are required to deposit Tk. 10 to 50 weekly and Tk. 50 to 250 monthly depending on the
nature of the loan. Besides this, borrowers can deposit voluntarily savings at any amount weekly or
monthly.
2.22
Post Balance Sheet Events:

Nothing has happened between the end of the financial report and signing date of the financial
statements that could affect the values stated in the financial statements.
2.23
Branch Audit of ASA:

The external audited 50 (fifty) branches during the year under audit.
2.24
General:
i. Figures appearing in the financial statements have been rounded off to the nearest Taka.
ii. Previous years figures have been rearranged, wherever considered necessary to confirm to current
years presentation.
2.25
Other Compliance of MRA Rules:

As required by the Microcredit Regulatory Authority we further report that1)
Financial statements have been drawn up in agreement with related books of account of the
Organization;
2)
ASA has duly accounted for the loans received from banks and grants from donors as per
accounting manual, principles and rules circulated by it;
3)
ASA collects funds for the operation of microfinance as a whole and allocates among the
components as the management thinks fit, and prepared separate reports based on that;
63

4)
ASA has properly used the fund collected from various sources for the purpose of microfinance
operations and duly recorded the same in the books of accounts;
5)
ASA has duly complied with its policies regarding group members savings (Deposit, Refund, Interest
paid on deposit and Interest Rate). The savings amount collected from group members are duly
recorded and deposited into bank;
6)
Branches of ASA has duly followed the procedures of loan disbursement, so far we have examined;
7)
We have physically verified the existence of fixed assets and examined the purchase thereof on a
test basis and found that these are duly presented in the financial statements;
8)
ASA was not engaged in any activity that in contravention of the constitution of ASA and of any
provision of law;
9)
We met and interviewed some of the group members of each of fifty branches we audited and
found that they were using funds properly;
10) Payments exceeding Tk. 10,000 were made through bank account. Cash payment only made if the
receiver has no bank account;
11) From our test check it appears that the collected loan and saving amounts were duly deposited into
bank on daily basis;
12) From our test check, we found the amounts collected from group members were duly accounted for
as per applicable policy and procedure at member and group level;
13) The interest on funds collected from various sources is average 7%. On the other hand, the
effective rate of interest on loan to group members are shown below:
SL#
Types of Loans
1.00
2.00
3.00
3.00
Primary Loan
Special Loan
Solar Loan
Sanitation Loan
Rate of
Interest
27%
27%
27%
27%
14) Provision for loan loss has been duly calculated and accounted for as per MRAs policy;
15) We have physically counted the cash in hand and confirmed bank balances with the bank
statements on a test basis and also examined the bank accounts reconciliation statements and
found them satisfactory;
16) We have checked the vouchers on a test basis and found that payments were made upon approval
of appropriate authority;
17) The financial statements reveal that cash and bank balances as on 30th June 2014 was Tk.
3,097,727,290 available for the microfinance program and the said amount is being used for the
microfinance operations of the organization;
18) During the course of our audit we have not find any activity which is relating to money laundering.
19) We have examined the transactions and agreement during the period on a test basis and did not
find any transaction occurred violating the provision of Microcredit Regulatory Authority Act, 2006,
the interest of donor agency and the organization itself;

20) We have examined the financial statements submitted to various donor organizations, regulatory
agencies and other authorities by ASA with proper justification and did not find any reportable
condition;
21) As per Sixth Schedule Part-A, Para 1A of the Income Tax Ordinance 1984 income from
microfinance activities is tax exempted. ASA submits income tax return and deducts tax and VAT at
sources as per the provision of Income Tax Ordinance 1984 and VAT Act 1991;
22) We have examined the budgetary control system of the Organization and did not find any reportable
conditions;
23) The Organization has introduced and established policies for procurement, human resources, loan
and saving and complies with the above polices for microfinance operations;
24) The Organization has a strong Internal Audit Department having 46 employees and they have
conducted internal audit in the organization at a regular interval in line with the guidelines
mentioned at Internal Audit Charter in the manual of ASA. Besides ASA has more than 413 Regional
Managers (RM) and other 100 Assistant District Managers who conduct audits of field offices on
regular basis;
25) The Organization has drawn up its financial statements in conformity with International Accounting
Standards (IAS) and International Financial Reporting Standards (IFRS) as adopted in Bangladesh
(i.e. BAS & BFRS). It has also complied with other applicable rules, regulations, concepts and
conventions.
26) We have checked the microfinance activities of ASA having funds from various sources including its
own and also reviewed the adequacy of MIS system, internal control system, adequacy of
classification of loan, provisioning policy, adequacy of collection percentage of loan and found them
satisfactory;
27) We have examined the third party loan agreements and no non-compliance has came to our notice;
28) A schedule of fixed assets is presented in Annexure-A to the financial statements (Page#31).
65

2.26 Ratio Analysis of ASA
The following ratios have been computed from the audited financial statements of ASA for the year
ended 30 June 2014 and 2013:
Name of Ratios
1.
30.06.2014 30.06.2013
Result
Result
Loan Recovery Ratios
i.
Cumulative Loan Collection Ratio on Total Dues (%)
99.54%
99.57%
ii.
Loan Collection Ratio on Current Dues (%)
98.13%
98.58%
2.
Liquidity Ratio (times)
23.97:1
20.62:1
3.
Current Ratio (times)
24.72:1
21.23:1
4.
Capital Adequacy Ratio (%)
51.81%
51.78%
5.
Debt Service Coverage Ratio (times)
4.04:1
4.7:1
6.
Debt to Capital Ratio (times)
0.61:1
0.61:1
7.
Return on Capital Ratio (%)
18.93%
21.56%
We have examined the calculation of the above ratios of ASA for the years ended 30 June 2014
and 2013 and found them correct. The detail calculation is presented in Annexure - P.

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VISION

The vision of ASA is to establish a

ASA Annual Report 2013-14

MD. SHAFIQUAL HAQUE CHOUDHURY

We redesigned and extended

Habiganj in September 2013. In

Md. Shafiqual Haque Choudhury

ASA Annual Report 2013-14

ASA Annual Report 2013-14

Vision, Mission, Values

From the Presidents Desk

Tributes to Mahbubul Alam

Hope for the Poorest (HP)

Assistant Traning School

Health Awareness Program

Health Welfare Program

New Initiaves of 2013-14

Projection for 2014-2015

The Unique Features

48-66 Audit Report & Financial

Research and Documentation

Exposure and Internship

ASA Annual Report 2013-14

Mr. Alauddin Ahmed

Mr. Mahbubul Alam

Prof. Nurul Islam

Mr. Matiur Rahman Chowdhury

Mrs. Rabeya Akter Choudhury

Dr. Dalem Ch. Barman

Md. Shafiqual Haque Choudhury

01 ASA Annual Report 2013-14

ASA Annual Report 2014

ASA will continue to keep

03 ASA Annual Report 2013-14

With a vast network of grassroots

in Bangladesh which in turn is

For want of money she could

Among them two cows now

Anowaras husband Milon Mia is

7,00,000. From the earning she

About 40 years back, a newly married Anowara Begum came to

ANOWARA an inspiring woman

ASA Annual Report 2013-14

Objectives of the Savings Program:

Long-term Savings (LTS):

05 ASA Annual Report 2013-14

Capital Buildup Savings Fund (CBSF):

Features of ASA Savings Products

Weekly premium is Tk. 10 or monthly premium is Tk. 50.

Specialty of ASA Savings Program:

Savings service is provided at the clients locality.

ASA Annual Report 2013-14

ASA provides Insurance facilities to its clients and

For every loan cycle

07 ASA Annual Report 2013-14

In case of female borrower, it

ASA Annual Report 2013-14

With an objective of generating momentum in agriculture sector of the country ASA

09 ASA Annual Report 2013-14

ASA initiates the project to achieve the following targets:

ASA Annual Report 2013-14

11 ASA Annual Report 2013-14

ASA Sustainable and

District Managers are based in the field.