08 Dec 2023, 17:45
Update : 09 Dec 2023, 09:08

ADB approves $400m to support climate priorities in Bangladesh

DHAKA, Dec 8, 2023 (BSS) - The Asian Development Bank (ADB) today approved a

US$400 million policy-based loan to support Bangladesh in implementing its
National Adaptation Plan, 2023-2050 and Nationally Determined Contributions
2021 Update to the Paris Agreement to achieve a climate-focused inclusive

Bangladesh is one of the world's most vulnerable countries to the adverse
impacts of climate change, recording an annual average loss of about $3
billion, said a press release here today.

This loan is the first subprogram of the indicative $700 million Climate-
Resilient Inclusive Development Program, which will help Bangladesh
strengthen its climate resilience, transition to a low-carbon economy,
mitigate its greenhouse gas emissions, and mainstream gender equality and
social inclusion in the government's climate actions.

"Climate shocks have been severely disrupting Bangladesh's growth and poverty
alleviation. Financing needs for climate actions are astronomical. Bangladesh
has strongly committed to tackling this challenge, and ADB, as the region's
climate bank, is ready to support Bangladesh in its efforts," said ADB
Principal Public Management Economist Aminur Rahman.

The program will create an enabling institutional and policy environment to
mobilize climate finance, prioritize climate actions in the country's overall
development agenda, and help the government implement reforms in climate-
critical sectors, including agriculture, disaster management, transport and
infrastructure, urban development, and energy.

The program facilitated the creation of the National Committee for
Environment and Climate Change headed by the Prime Minister for holistic
implementation of the government's climate priorities across ministries. The
program will intensively support the government in operationalizing the
Bangladesh Climate and Development Partnership launched recently at COP 28.
The program supports the mainstreaming of climate priorities in government
planning and resource allocation, and the mobilization of climate finance
through green bonds and sustainable finance policy.

At the sectoral level, the program promotes climate-smart and climate-
resilient agricultural practices, especially those that favor female farmers,
adaptation of solar irrigation pumps, introduction of climate-resilient
infrastructure design and planning, and regulatory framework for adaptation
of electric vehicles and introduction of electric buses in the public
transport fleet. ADB also helps promote climate-resilient city action plans
and improved drainage system for municipalities to reduce urban flooding.

In October 2021, ADB announced it is raising its ambition to deliver climate
financing to its developing member countries to $100 billion from 2019 to
2030. This will expand access to new, climate-focused technologies and
mobilize private capital toward climate finance.

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