ADB, Ananta Group Sign Deal to Promote Energy-Efficient Fabric Manufacturing, Create Jobs in Bangladesh

DHAKA, BANGLADESH (24 June 2024) — The Asian Development Bank (ADB) has signed a $40 million financing package with Ananta Knitwear Limited (AKL) to finance a new knit fabric factory in Narshingdi, Bangladesh. AKL is part of the Ananta Group, one of the largest exporters of ready-made garments in Bangladesh.

The financing comprises a $20 million loan from ADB and a syndicated B-loan of $20 million from the ILX Fund, an Amsterdam-based emerging market asset manager focused on the Sustainable Development Goals, with ADB as lender of record. As the mandated lead arranger, ADB arranged and syndicated the financing package.

The new factory is expected to receive platinum certification under the Leadership in Energy and Environmental Design, the global standard in green building rating systems. The factory will use advanced automated energy-efficient machinery and equipment based on the latest technology. The construction stage is expected to generate 200 new jobs, while the operation of the new factory will generate 1,000.

“Bangladesh’s textile industry is a major contributor to the economy, but the breadth of its impact is much broader. It is also about livelihoods and national resilience,” said ADB Director General for Private Sector Operations Suzanne Gaboury. “The textile industry employs millions, drives exports, and sustains families. ADB’s support will help attract much-needed financing to this strategically crucial part of the national economy.”

“We are delighted to receive this financing from ADB and ILX. We see this as a symbol of trust from our partners and a sign to international lenders about the global quality and development impact of our industry,” said Ananta Group Managing Director Sharif Zahir. “Partnering with an internationally reputable financial institution such as ADB affirms our shared vision of quality of service, inclusivity, and sustainability. It is a significant step towards our company’s sustainable growth goals.”

The Ananta Group manufactures products including jeans, suits, sweaters, lingerie, activewear, and outerwear, with total revenue of about $400 million. It has been in business for over 30 years and employs over 30,000 people across seven factories.

ADB is committed to achieving a prosperous, inclusive, resilient, and sustainable Asia and the Pacific, while sustaining its efforts to eradicate extreme poverty. Established in 1966, it is owned by 68 members—49 from the region.