bangladesh bank in promoting sustainable...
TRANSCRIPT
Presented By Rizwanul Karim
Assistant Director
Sustainable Finance Department
Bangladesh bank
Bangladesh Bank in Promoting Sustainable Finance
Chronological Development
2009 BB Refinance Scheme of 5
Green Products for Banks
2010 Inclusion of 1 more Green
Product in that Scheme
2011
ERM
Framework
for banks and
FIs
Green
Banking
Policy for
Banks
Chronological Development
2012
Uniform
Green
Banking
Reporting
Format for
Banks
ADB
supported
Refinance
Scheme for
Brick Kiln
Efficiency
Improvement
2013
Inclusion of 12 more Green
Products in BB Refinance Scheme
Green Banking Policy
for FIs and Banks
Scheduled in 2013
Re-phasing the
Implementation
Roadmap of Green
Banking Policy
Chronological Development
2014
Inclusion of 29 more Green
Products in BB Refinance
Scheme
Annual
Direct Green
Finance
Target
Introducing
E-Tendering
System
Refinance scheme funded by liquidity of
Shariah based banks and FIs for 47
Green Products
Chronological Development
Inclusion of 3 more
Green Product in
the Scheme That
means 50!
2015-2016
Green Transformation
Fund of USD 200
million for Textile and
Leather Sector
Policy support from Bangladesh Bank
Identification of Green
Products
BB identified 50 green products in 11
categories from 2009 to 2015
Annual Direct Green
Finance Target
Direct green finance as % of Total
funded disbursement
5% for all banks and FIs from 2016
Introducing E-tendering
system
Instruction provided to banks and FIs
implementing E-tendering system
Funding Support from Bangladesh Bank
BB Refinance Scheme:
BDT 2.00 billion revolving fund from own source of BB.
Applicable for 50 green products under 11 categories.
ADB supported Refinance Scheme:
Funding support from ADB.
USD 50 million revolving fund.
Applicable for conversion of FCK to improved Zigzag kiln and
construction of high efficiency project such as VSBK, HHK,
Tunnel Kiln.
Funding Support from Bangladesh Bank
Refinance scheme funded Shariah based banks and FIs:
Funding from excess liquidity of Shariah based banks and FIs.
Applicable for 50 products under 11 categories.
Green Transformation Fund:
Funding from National FOREX Reserve.
Applicable for 9 criteria of Green Transformation for Textile and
Leather.
200 million USD.
Green Transformation Fund (GTF)
Objective of the Fund:
Financing all manufacturer-exporters in export oriented textiles
& textile products and Leather manufacturing sectors to import
capital machinery and accessories for implementing green
initiatives.
Tenor of the loans
5 to 10 years with 1 year grace period.
Catagories for Refinancing
Renewable Energy
Energy Efficiency
Solid Waste Management
Liquid Waste Management
Alternative Energy
Catagories for Refinancing
Non Fire Block Brick
Fire Bunt Brick
Recycling & Recyclable Product
Green Industry
Ensuring Safety & Work Environment of Factories
Miscellaneous
Sector wise Disbursement (Feb 2016)
Sector Cumulative Amount in BDT
(Million)
Solar Home System 327,507,199.00
Solar Irrigation Pumping Station 68,270,000.00
Solar PV module assembly plant 569,287,647.00
Solar Mini Grid 10,000,000.00
Bio-gas plant 627,954,600.00
Effluent treatment plant (ETP) 110,365,200.00
Hybrid Hoffman Kiln/equivalent
technology in Brick Field 467,189,950.00
Vermicompost 2,645,000.00
Sector wise Disbursement (Feb 2016)
Sector Amount in BDT (Million)
Safety Working Environment 45,680,000.00
Green Industry 400,000,000.00
Paper Waste Recycling 20,000,000.00
Organic Manure 200,000.00
Total 2,649,099,596.00
CSR Initiatives from Bangladesh Bank
CSR Guidelines for
Financial Sector
Mainstreaming CSR in banks and
FIs in Bangladesh-2008
Indicative guidelines for CSR
expenditure allocation and end use
oversight-2014
BB Disaster
Management and Social
Responsibility Fund
BB’s Own CSR Fund
Formed in FY2013-14
Annual allocation Tk 100 million
Challenges
Lack of Awareness among the investors
High initial cost for some products
Focusing on Short term benefits
Lack of coordination between head office and branches of banks/FIs
Law/legal barriers
“ Questions ???
Thanks