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The International Finance Corporation (IFC) has committed a US$30.7 million senior secured loan to Popular Pharmaceuticals PLC to strengthen Bangladesh’s pharmaceutical supply chains, support local medicine production and create skilled jobs.
The financing will provide Popular, one of Bangladesh’s leading generic medicine manufacturers, with dollar-denominated working capital, primarily to import active pharmaceutical ingredients (APIs) and other critical raw materials.
Although local manufacturers supply most medicines consumed in Bangladesh, the pharmaceutical industry remains heavily dependent on imports for key raw materials, with around 90 percent of APIs sourced from abroad.
IFC, a member of the World Bank Group, said its long-term dollar facility would help ensure more reliable access to foreign currency for critical imports and support uninterrupted production of essential medicines for Bangladesh’s population of around 170 million.
Popular Pharmaceuticals ranks among the country’s top 10 pharmaceutical companies and manufactures more than 815 products, which are distributed to around 155,600 pharmacies and clinics nationwide. The company employs more than 10,000 people, according to IFC.
“This partnership with IFC marks an important step in our journey to become one of Bangladesh’s top pharmaceutical companies by 2030,” said Dr Mostafizur Rahman, Managing Director and CEO of Popular Pharmaceuticals.
“Beyond financing, IFC brings global healthcare expertise that will help us strengthen our operations, expand into new therapeutic areas, and reinforce our leadership in hormones and specialised medicines,” he said.
The financing package includes US$64.1 million in additional private capital mobilised alongside IFC’s investment, which IFC said would help unlock further private-sector investment in Bangladesh.
“Reliable access to critical raw materials is key to ensuring uninterrupted production of medicines that millions of people in Bangladesh rely on every day,” said Carsten Mueller, Regional Industry Director, Manufacturing, Agribusiness and Services, Asia Pacific at IFC.
“Through our partnership with Popular, one of the country’s leading pharmaceutical manufacturers, IFC is helping strengthen healthcare supply chains and create skilled jobs,” he said.
Mueller said the private capital mobilised alongside IFC’s investment reflected investor confidence in Bangladesh’s pharmaceutical sector.
He added that the financing would help attract more private-sector funding to sectors and markets where investment is most needed.
The project will also support the expansion of Popular’s hormone division, creating around 330 high-skilled jobs and strengthening skills development in advanced pharmaceutical manufacturing.
According to IFC, the expansion will also increase the share of women employed in the hormone division by at least 60 percent.
The project is expected to help Popular expand its manufacturing capabilities while developing a more specialised workforce capable of producing complex pharmaceutical products.
The partnership is aligned with the World Bank Group’s goal of reaching 1.5 billion people with quality, affordable healthcare by 2030 and supports Bangladesh’s National Health Compact 2025.
IFC said the investment reflects its broader efforts to strengthen private-sector participation in healthcare and improve the resilience of critical supply chains in emerging markets.
The financing comes at a time when Bangladesh’s pharmaceutical industry is seeking to expand domestic production of medicines and move towards higher-value and more specialised products, while reducing vulnerabilities arising from dependence on imported raw materials.