Photo : Collected

DHAKA, Nov 27, 2025 (BSS) - Bangladesh has taken a critical step toward 
strengthening its climate resilience with the launch of a national 
consultation process to develop the country's first National Climate Finance 
Strategy. 

The Finance Division of the Ministry of Finance, in partnership with the 
United Nations Development Programme (UNDP), convened a high-level workshop 
today in Dhaka to gather perspectives from private sector representatives 
along with representatives from financial regulators, relevant government 
agencies, and development partners in relation to private finance for climate 
action.

The initiative comes at a decisive moment for climate-vulnerable nations. At 
COP30, world leaders warned that adaptation financing remains dangerously 
insufficient; despite escalating risks from sea-level rise, extreme heat, and 
climate-related disasters. 

Bangladesh, though responsible for under 0.56% of global emissions, ranks 9th 
among the world's most climate-exposed countries, facing annual financing 
needs estimated at US$26 billion, said an UNDP press release.

The National Climate Finance Strategy, an output of UNDP's Inclusive 
Budgeting and Financing for Climate Resilience (IBFCR II) project, aims to 
address this gap by aligning public financial management reforms, regulatory 
incentives, and private sector investment to mobilise climate finance at 
scale.

Attending as the chief guest, AKM Sohel, Additional Secretary and UN Wing 
Chief, Economic Relations Division, Ministry of Finance, stressed, "Despite 
being highly vulnerable, Bangladesh receives only a fraction of the climate 
finance it requires. A clear Climate Finance Strategy will help us navigate 
this imbalance, develop bankable projects, and position Bangladesh to secure 
the financing necessary for long-term resilience."

Dr Ainun Nishat, Professor Emeritus at BRAC University and Special Guest at 
the event, underscored that "Effective climate action requires full 
implementation of the National Adaptation Plan, alongside stronger capacity 
building and technology transfer. Integrating climate considerations across 
all ministries is essential to addressing this growing threat."

Md Rafiqul Islam, Executive Director, Bangladesh Bank, added, "Bangladesh is 
one of the world's most climate-vulnerable countries, and as we shift to a 
low-carbon development path, sustainable and climate finance becomes 
pivotal."

Owais Parry, Country Economic Advisor, UNDP, highlighted, "Bangladesh already 
invests billions in climate action, but the gap remains vast. To safeguard 
people and drive long-term growth, the country must mobilise far more and do 
so through both public and private channels. A national climate finance 
strategy will help Bangladesh tap new sources of capital, align policies, and 
unlock the financing needed for a resilient and inclusive future."

Dr Maliha Muzammil, Specialist, Climate Change and Sustainable Financing, 
UNDP Bangladesh, provided a keynote presentation on the "Need for a National 
Climate Finance Strategy in Bangladesh" followed by a technical session 
facilitated by UNDP experts. 

Participants focused on the challenges of accessing both public and private 
climate finance, with discussions on blended finance, green bonds, 
sustainability-linked loans, insurance solutions, and public-private 
partnerships.

This event marks the first of three consultation workshops, with the Finance 
Division and UNDP next convening key ministries, divisions and agencies 
before engaging development partners and development finance institutions in 
a final session, after which the insights will be consolidated into a draft 
Climate Finance Strategy for further national consultation. 

The strategy is expected to position Bangladesh to mobilize larger, more 
predictable, and more diversified climate finance in the years ahead-bridging 
global commitments made at COP30 with national efforts to protect people, 
livelihoods, and ecosystems.