The Asian Development Bank (ADB) today approved a US$400 million policy-based loan to support Bangladesh in implementing its National Adaptation Plan, 2023-2050 and Nationally Determined Contributions 2021 Update to the Paris Agreement to achieve a climate-focused inclusive development.
Bangladesh is one of the world's most vulnerable countries to the adverse impacts of climate change, recording an annual average loss of about $3 billion, said a press release here today.
This loan is the first subprogram of the indicative $700 million Climate-Resilient Inclusive Development Program, which will help Bangladesh strengthen its climate resilience, transition to a low-carbon economy, mitigate its greenhouse gas emissions, and mainstream gender equality and social inclusion in the government's climate actions.
"Climate shocks have been severely disrupting Bangladesh's growth and poverty alleviation. Financing needs for climate actions are astronomical. Bangladesh has strongly committed to tackling this challenge, and ADB, as the region's climate bank, is ready to support Bangladesh in its efforts," said ADB Principal Public Management Economist Aminur Rahman.
The program will create an enabling institutional and policy environment to mobilize climate finance, prioritize climate actions in the country's overall development agenda, and help the government implement reforms in climate-critical sectors, including agriculture, disaster management, transport and infrastructure, urban development, and energy.
The program facilitated the creation of the National Committee for Environment and Climate Change headed by the Prime Minister for holistic implementation of the government's climate priorities across ministries.
The program will intensively support the government in operationalizing the Bangladesh Climate and Development Partnership launched recently at COP 28.
The program supports the mainstreaming of climate priorities in government planning and resource allocation, and the mobilization of climate finance through green bonds and sustainable finance policy.
BDST: 1820 HRS, DEC 08, 2023
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