WBMDFC was established in 1996 as per West Bengal Act XVIII of 1995, ie The West Bengal Minorities Development and Finance Corporation Act, 1995. The functions of the Corporation are to take generally the task of economic welfare of the minorities through Industrial, Commercial and Cultural activities. The minority communities are Muslims, Sikh,Christian, Buddhist and parsee as per notification of Govt. of India. The Govt. of West Bengal has also notified Jain Community as a Minority Community but as this community is not on the Central government List, it can avail benefits of only those schemes which are undertaken out of the fund granted by the State Government.
WBMDFC has taken up various schemes for Economic Welfare, Scholarships, vocational Training, Mass Awareness, Career Counseling schemes which are successfully running.
It acts as an State Channelizing Agency of National Minorities Development and Finance Corporation (NMDFC) and National Backward Classes Finance & Development Corporation (NBCFDC) and implements its various economic welfare schemes. It also provides education loans and scholarships including Haji Md. Mohsin , Fixed Endowment Fund Scholarship Programme for pursuing studies at various levels. For the purpose of skill development and creating employment or self employment opportunities, It also organizes vocational training and Coaching programmes in collaboration with Govt. Polytechnics and reputed CBOs.