Private sector needs investment climate for sustainable business: Debapriya 

Sustainable business models should not be limited within the exporters, instead it should be embraced across the value chain, said economist Debapriya Bhattacharya, convenor of the Citizen's Platform for SDGs, Bangladesh.

To attain sustainable business models, the private sector needs an improved investment climate where their issues including financing, energy, logistics, labour, technology, policy and regulatory harassment will be resolved, he said today in a discussion "National SDG Report (VNR) 2025: Perspective of Business Leaders."

Supported by the government, the entrepreneurs also have to be aligned with the sustainability mission, said Debapriya Bhattacharya, also a distinguished fellow of the Centre for Policy Dialogue (CPD).  

He also stressed the proper role of trade bodies that were politicised during the previous government. The association leaders' support to the undemocratic government, their own ascend as community leaders without fair elections made the trade bodies' sustainability talks "hollow."

"Sustainability and corporate social responsibility (CSR) are different," he said, stressing the need for business feasibility of the good practices the private sectors need to adopt for a better future.

"Green washing"—a malpractice of cashing in on sustainable business models without the actual role playing often happens, the economist said. But, the government officials should come out of all-out skepticism to support the real initiatives.

For a national success in sustainability, he stressed three factors together –investment, mapping, monitoring and policy alignment.

A large number of private sector players and think tank representatives spoke at the programme in the capital, moderated by Citizen's Platform core group member and CPD Distinguished Fellow Professor Mustafizur Rahman.

After the Rana Plaza incident, Bangladesh emerged to be the home of over 250 certified green factories, including many world-leading ones. Not only the environment, the sector is also complying with the labour and other sustainability standards, said Bangladesh Knitwear Manufacturers' and Exporters' Association's former President Md Fazlul Haque.

However, a lack of recognition, branding still causes a poor price of the exported products, he said, stressing the need for public-private collaboration to overcome the problem.

Professor Mustafizur Rahman said out of around one crore manufacturing units in the country, sustainability is still concentrated into the export-oriented readymade garments and a few other reputed firms. Other sectors and the SME units should be aware of sustainability.

Various CSR funds including that of the Prime Minister's Office were spent over years, but their effectiveness should be revisited, said Global Compact Network Bangladesh Executive Director Shahamin Zaman, suggesting channeling CSR funds into sustainable projects.

Shihab Quader, director general for SDGs at the Chief Adviser's Office, said IT has been a potential sector and many unnecessary projects were taken over the years. The interim government eyes the carbon trading framework, human resource development and sustainability bonds.

UNDP Bangladesh Assistant Country Representative Anowarul Haq stressed economic opportunities, responsible production and consumption along with decent employment.

"Only the government's annual development programs will not be enough, the journey needs to onboard all," he said

Newage Group of Industries Vice Chairman and the platform's core group member Asif Ibrahim emphasised boosting sustainable financing that might come from CSR funds, public private partnership or green instruments or loans.

He demanded proper mapping of contributions of all stakeholders.

Unilever Bangladesh Corporate Affairs Director Shamima Akter called for stronger ties between the private sector and the government for sustainability reporting, monitoring, and facilitation along with incentives as sustainability is a must to attract foreign investments.

Metropolitan Chamber of Commerce and Industry President Kamran T Rahman said all the standards evolve within the formal sectors while 85% of the employment is in the informal sector. For sustainability, Bangladesh needs formalisation of the economy.

Bangladesh Federation of Women Entrepreneurs President Rubina Husain emphasised widespread access to financing, technology and training for the grassroots small entrepreneurs, especially the women without whom sustainability talks would remain incomplete.