MIDAS (Micro Industries Development Assistance and Services) a private limited company established in 1982 with the objective of promoting development of small enterprises and creating new employment opportunities in them. The organisation provides managerial, technical and financial assistance as well as non-financial services such as information, counseling, training, study, and research.

MIDAS was established with the help of the financial and technical assistance of the USAID. In 15 years after establishment, the organisation gained self-sufficiency in funding but it continues to have partners from abroad. The list of its development partners includes Netherlands Management Cooperation Programme (for arranging technical and professional consulting assistance to local entrepreneurs/organisations), Technology for the People, Geneva (for transfer of technology), the World Bank (for distribution of World Bank publications in Bangladesh), and Canadian Executive Service Organisation, Toronto (for arranging consulting assistance).

Small entrepreneurship development strategies followed by MIDAS are disseminating information on small enterprises, carrying out studies and research, identifying innovative projects and potential entrepreneurs for small enterprises, offering packages of services including financial assistance, promoting women entrepreneurship and offering counseling services.

Up to June 2000, the company developed and approved 1,354 and 1,224 projects respectively and financed 1,153 projects. These projects provided employment to 20,179 persons, of whom 6,948 were women. In addition, MIDAS generated investments of Tk 1,744 million, disbursed Tk 477 million in loans, recovered Tk 238.4 million, and made a cumulative equity participation of Tk 9.90 million up to June 1998. In 2000, total assets of MIDAS were valued at Tk 212.31 million. Its capital funds stood at Tk 211.73 million.

MIDAS launched a special credit programme titled Micro Enterprise Development Initiatives (MEDI) in July 1993 to provide easy term loans ranging from Tk 50,000 to Tk 500,000 per borrower. These borrowers are small business entrepreneurs who normally do not have access to institutional sources of funds and to non-government organisations. MIDAS arranged a number of training programmes, trade fairs, seminars, and meetings to promote small businesses. It set up a Women Entreprenuership Development (WED) cell at its head office in Dhaka to provide the women entrepreneurs with advice and to impart training to improve their skills and knowledge in small-scale business enterprises. It opened MIDAS mini marts and sales and display centres of clothing and handicraft items. These centres provide marketing outlets for the products of women entrepreneurs. MIDAS maintains an information centre through which it provides technical information relating to small enterprises development through leaflets, books and bulletins. It is the sole agent of The World Bank for sale of its publications in Bangladesh. To organise easy access to loanable funds from different national and international organisations, MIDAS formed a subsidiary company named MIDAS Financing Limited in March 1995.

MIDAS Financing Limited commenced business in October 1999 with an authorised and a paid up capital of Tk 150 million and Tk 50 million respectively. Its paid up capital increased to Tk 55 million in 2000. Reserve funds of the company stood at Tk 1 million on 30 June 2000, when its total shareholders' equity was Tk 56.63 million and long-term liabilities Tk 15.96 million. Up to 31 March 2001, the company provided term finance to 25 industrial projects. MIDAS Financing Limited contributed significantly to planning and implementation of Micro Enterprise Development Initiative (MEDI), an innovative micro industrial development credit scheme of MIDAS launched in 1993. Under this scheme, MIDAS Financing Limited provides loans of up to Tk 0.30 million at easy terms and without any security.

MIDAS Financing Limited earned net profits of Tk 1.16 million during the business year 1999-2000. It has 3 branches including its principal office in Dhaka where a 62-member workforce including 35 officers of various grades is working under the supervision of the managing director, the chief executive officer. MIDAS has a 10-member board of directors and on 30 June 2000, the total number of employees of the organisation was 84, of whom 43 were officers. [S M Mahfuzur Rahman]