In demonstration of their shared commitment to advancing sustainable economic growth, Bangladesh and Indonesia engaged in a
high-level exchange on sustainable finance. A delegation of senior representatives from Bangladesh`s Economic Relations
Division (ERD), Ministry of Finance, led by the Cabinet Secretary, and ERD
Additional Secretary, and supported by the United Nations Development
Programme (UNDP) and Impact Investment Exchange (IIX), visited Indonesian
capital Jakarta from 24 to 27 February, said a press release.
The delegation was led by Sheikh Abdur Rashid, Cabinet Secretary, Government
of Bangladesh.
AKM Sohel, Additional Secretary, Economic Relations Division, Government of
Bangladesh; Razibul Islam, Joint Secretary, Economic Relations Division,
Government of Bangladesh; Ashfaqul Islam Mukut, Joint Secretary, Economic
Relations Division, Government of Bangladesh and other senior officials were
also present.
The visit aimed to gain insights from Indonesia`s pioneering success in
sustainable financing and thematic bonds, including Green and Sustainability
mechanisms.
The visit provided an opportunity for both nations to explore how financial
instruments such as Green Bonds, Sukuk, Orange Bonds, and other thematic
financing models can mobilize capital for national sustainable development.
The delegation engaged with Indonesia`s financial policymakers, bond issuers
and climate-aligned projects to understand how sustainability-focused finance
has been successfully scaled to drive economic growth while addressing
environmental and social priorities.
Sohel said Bangladesh is committed to building a sustainable and resilient
economy, and this collaboration with Indonesia is a vital step toward
unlocking innovative financial solutions through capital markets.
"By learning from Indonesia`s successful experience in green finance and
social and sustainability aligned investments, we aim to develop financial
mechanisms that will not only support our climate goals but also ensure
inclusive economic growth for all Bangladeshis," he added.
Indonesia has been recognized for its leadership in sustainable finance,
having introduced award-winning financial instruments such as the Green Sukuk
and sustainability bonds.
Both countries have demonstrated commitment to ensuring that investments are
directed toward the communities most affected by these issues, particularly
women and underserved populations, with Bangladesh looking to issue Green
Bond and their inaugural Orange Bond, recognizing that sustainability must
encompass more than just environmental concerns.
IIX, a global leader in gender-lens investing coupled with climate action, is
actively supporting both countries in structuring their Orange Bond
frameworks, providing technical expertise, and facilitating access to impact-
driven capital markets.
At a welcome dinner hosted by IIX, the delegation engaged with key
organizations leading Indonesia`s sustainable finance initiatives across
public, private, and philanthropic sectors.
Professor Durreen Shahnaz, CEO and Founder of IIX, said sustainable finance
must be both inclusive and catalytic, ensuring that capital reaches those who
need it most.
"The introduction of Orange Bonds in Bangladesh and Indonesia marks a bold
step toward gender-responsive financial innovation, demonstrating how South-
South partnerships can lead the charge in mobilizing capital for impact at
scale. IIX is proud to support this regional knowledge exchange and looks
forward to seeing these insights transform into actionable outcomes that
benefit women and underserved communities," he added.
The delegation`s visit reinforced Bangladesh`s commitment to expanding its
sustainable finance market and integrating insights from Indonesia`s
experience in mobilizing private capital for social and environmental impact.
Both countries recognize that diversified, well-structured financial
solutions are essential for advancing national economic priorities and
achieving the Sustainable Development Goals (SDGs). Such financial solutions
are also crucial for funding climate change adaptation and mitigation actions
as enshrined in Bangladesh`s National Adaptation Plan (NAP) and Nationally
Determined Contributions (NDCs).
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