UNDP and IIX partner to advance gender-inclusive sustainable finance

The United Nations Development Programme (UNDP) and Impact Investment Exchange (IIX) have signed a memorandum of understanding (MoU) at the UNDP Bangladesh office to promote gender-inclusive, sustainable finance in Bangladesh.

The partnership aims to support the development of new thematic bonds—known as Orange Bonds—to mobilise capital for women-led businesses and underserved communities. The initiative seeks to attract greater private investment while ensuring transparency, accountability, and measurable development outcomes.

Under the collaboration, UNDP and IIX will conduct studies, support policy dialogue, engage key stakeholders, and provide technical assistance and training to potential bond issuers. They will also help to strengthen monitoring and reporting systems so that investments generate clear and verifiable impact.

'Mobilising capital for gender equality and climate resilience requires strong market infrastructure, informed policy dialogue, and trusted partnerships,' said Stefan Liller, Resident Representative, UNDP Bangladesh. 'This collaboration with IIX allows us to combine UNDP's policy expertise and country presence with global innovations in sustainable finance.'

IIX, the creator of the Orange Bond Principles, brings experience in gender-lens investing, bond structuring, independent verification, and impact measurement. Inspired by Sustainable Development Goal 5 on gender equality, the Orange Bond initiative aims to direct investment towards projects that advance women's empowerment and climate action, while building investor confidence through clear standards.

'UNDP has been playing an instrumental role in shaping Bangladesh's impact and sustainable finance ecosystem,' said Prof Durreen Shahnaz, Founder and Chief Executive Officer, IIX. 'Our partnership with UNDP reflects our shared commitment to engage public, private, civil society, and development sector stakeholders to strengthen impact investment and Orange capital markets in the country. The partnership will support the institutional adoption of inclusive finance, creating pathways for meaningful and measurable change for women and underserved communities, and contributing to Bangladesh's SDG agenda.'

As Bangladesh prepares to graduate from least developed country (LDC) status, access to concessional finance and preferential trade benefits is expected to decline. Strengthening capital markets and introducing innovative financial instruments will be essential to sustaining growth and ensuring that development remains inclusive and resilient.

UNDP and IIX said the partnership reflects a shared commitment to building a transparent, inclusive, and forward-looking sustainable finance ecosystem to support Bangladesh's long-term development goals.