Many of the investments made in Bangladesh, especially in the manufacturing sector, have contributed to impressive growth in GDP over the last decade, but have presented the threat of locking in the country into an unsustainable development path. In Bangladesh, even though some policy alignments are evident towards achieving sustainable development goals, there are opportunities for creating an enabling environment for financial institutions, both formal and nonformal, to play a catalytic role for promoting green growth in the present and foreseeable future.
The present study reports on the different sources of green finance available in Bangladesh through grant, debt, and equity mechanisms; provides an insight into the green finance landscape in the country in general; presents the challenges financial institutions face in internalising green finance, and outlines the potential for greening growth of Bangladesh through identifying opportunities for accessing green finance from internal and external sources.