Country’s commercial banks finance only 0.5 percent in green banking despite having regulatory guidelines to invest at least 5 percent in the sector.
The revelation came from a research report of the Bangladesh Institute of Bank Management (BIBM) published on Thursday.
The report said only 8 to 10 percent of banks are financing in the field of biodiversity and most of the funds goes to solar power.
The research findings were released in a workshop titled “Hard to Incorporate Biodiversity Issues in Green Banking in Bangladesh”, organised by BIBM at the BIBM head office at Mirpur in the capital.
Deputy Governor of Bangladesh Bank and Chairman of Executive Committee of BIBM SM Manirujjaman attended the workshop as chief guest with BIBM Director General Dr Toufique Ahmad Chowdhury in the chair.
While addressing the programme, Manirujjaman said Bangladesh Bank has been preparing guidelines with regard to finance in the green banking but he felt that the consciousness of the banks is more important than that of mandatory rules.
Speakers said once there was no awareness of people about green banking but in the last few years the situation has changed a bit. Similarly, there will also be a change in the mindset of the bankers in financing green banking at one stage.
Former Managing Director of Pubali Bank and Supernumerary Professor of BIBM Helal Ahmed said to save environment, green banking is a urgent need, as financiers, the banks has got a serious role to play.
Managing Director and CEO of Mutual Trust Bank, Anis A Khan said apart from banks, the non government organisations (NGOs) will also have to come forward to finance in green banking.
He also suggested bankers to finance in blue economy because this is also a potential sector.
Additional Managing Director of Trust Bank Limited Humaira Azam mentioned that there are some complications in financing in the biodiversity sector which need to be resolved through discussions among all the stakeholders.
Former Professor of the Department of Economics University of Dhaka, Prof Dr Barkat-e-Khoda also spoke among others.
Alleging that there are bureaucratic complications behind lack of adequate financing in the biodiversity sector, session chair Dr Toufique Ahmed urged the authorities concerned to work for reducing complications so that the biodiversity sector can be promoted expectedly.