Dhaka, Bangladesh (BBN) – Bangladesh Bank has taken diverse policy and funding initiatives to promote sustainable agriculture, said Bangladesh central bank Governor Dr Atiur Rahman.
“Channeling refinance to solar irrigation pump, vermicompost, bio-fertiliser, bio-gas, organic farming, saline, draught and flood resistant seed varieties, roof-top gardening; granting fund from CSR to conservation of wild life, forestation of coastal region, natural crop-reservoir (cold-storage) have really brought the financial sector to line up agricultural financing with ‘green’ practices,” BB Governor Dr Rahman said.
He was addressing a Regional Dissemination Forum on Green Financing on Sunday.
The three-day long programme titled “Regional Dissemination Forum on Green Financing for Sustainable Development and Accessibility of Rural Communities” has been organised by Agricultural Credit Department of the BB in accordance with Asia-Pacific Rural and Agricultural Credit Association (APRACA).
The central bank chef also said: “We need to take a number of important measures to ensure a sustainable financial system in Bangladesh.”
The guideline and practice of environmental risk management should be continuously reviewed and strengthened accordingly, Dr Rahman explained.
He also said the BB is also focusing on greening the SME Credit Policy, and ensuring adequate financing facilities for alternative power generation options.
“These initiatives would be complementary to the real economy measures such as environmental regulations and fossil fuel subsidy reform,” he noted.
In Bangladesh, the central bank has played a leadership role in pursuing sustainability priorities within its mandate of maintaining monetary and currency stability in order to foster growth and development in the national interest, according to SK Sur Chowdhury, deputy governor of BB.
“We are not confined only to green finance but also committed to pursue digital, nearly paperless, sustainable, green banking operations by making best use of the information technology and related professional skills,” Mr. Sur Chowdhury also Chairman of APRACA explained.
He also said: “Our different initiatives particularly IT based green banking activities along with incorporation of environmental risks in core risks, green financing, creation of climate risk fund, green marketing & capacity building are moving ahead in full swing.”
At least 65 participants including 24 foreign delegates from different APRACA member countries such as Bhutan, Cambodia, India, Myanmar, Nepal, Pakistan and Thailand, attend the assembly held at Le Méridien Hotel in the capital Dhaka.
The APRACA has been involved in the promotion of rural and agricultural development and facilitation of exchange of information and expertise in rural and agricultural finance in the region since it was established in October 1977.
It’s representing 70 member institutions from 21 countries in Asia and the Pacific since its inception and the growth and development of APRACA certainly is the result of active cooperation and unsparing support of the member institutions throughout these years.