Govt, UNDP and partners outline priorities for new climate finance strategy
As Bangladesh prepares its forthcoming Climate Finance Strategy, the Finance Division of the Ministry of Finance, in partnership with the United Nations Development Programme (UNDP) and with support from Agence Française de Développement (AFD), held a high-level consultation in Dhaka on 10 December 2025.
The discussion brought together government officials, development partners, and international financing institutions to strengthen how climate resources are mobilised and managed amid rising environmental pressures.
The workshop, organised under the Inclusive Budgeting and Financing for Climate Resilience (IBFCR) project, comes at a time when climate impacts are intensifying. Despite contributing less than 0.56% of global emissions, Bangladesh remains one of the most climate-vulnerable countries. Current estimates place annual climate financing needs at USD 26.12 billion, equivalent to 5.8% of GDP.
Keep updated, follow The Business Standard's Google news channel
Speaking as chief guest, Syeda Rizwana Hasan, Adviser at the Ministry of Environment, Forest and Climate Change, said Bangladesh must "think differently—build real capacity, simplify financing beyond slow tenders, and equip ministries and NGOs through clear working groups so climate finance becomes truly outcome-oriented."
Chairing the session, Md Hasanul Matin, Additional Secretary and Super-Wing Chief, Finance Division, noted that climate change "is no longer a future threat—it is a present reality", adding that resilience depends on both sound environmental policy and a robust fiscal system for mobilising, managing, and monitoring climate finance.
AKM Sohel, Additional Secretary and UN Wing Chief, Economic Relations Division, stressed that Bangladesh is "not in a position to take on more loans", adding that the Climate Finance Strategy signals a shift towards equity-based and guaranteed funding rather than additional debt.
Cecilia Cortese, Deputy Country Director at AFD, said that climate finance must reach local governments and frontline communities more rapidly, backed by the right sovereign tools and a clear social strategy.
Nayoka Martinez Bäckström, First Secretary (Environment and Climate Change) at the Embassy of Sweden, highlighted Sweden's role in co-chairing the Local Consultative Group on Environment and Climate, noting efforts to move away from fragmented, sector-specific decisions towards an inter-ministerial approach that directs funds to priority adaptation and mitigation projects.
Other speakers included Md Nazrul Islam, Joint Secretary, Finance Division; Dr Maliha Muzammil, Programme Specialist – Climate Change and Sustainable Finance, UNDP; Andreas Biermann, International Expert, IBFCR II, UNDP; and Owais Parray, Country Economic Adviser, UNDP.
The event featured technical discussions on public and private financing opportunities, sector-specific needs, and collaborative pathways that will inform the drafting of the national strategy aligned with global best practices.
Insights from the workshop will guide the next phase of strategy development and strengthen Bangladesh's long-term climate and development planning.
