Integrated approach key to promote green financing

A half day long Review Workshop was held at the Bangladesh Institute of Bank Management (BIBM) on Thursday at its auditorium.

 Md. Nazimuddin, Executive Director of Bangladesh Bank and Director General of BIBM, delivered welcome address. Professor Barkat-e-Khuda, BIBM Dr.Muzaffer Ahmed Chair Professor & Former  Professor of Dhaka University chaired the Program.

A paper titled ‘Sustainable Banking Activities of Bangladesh’  was presented in workshop by Dr. Shah Md. Ahsan Habib, Professor & Director (Training) of BIBM.

Other members of the research team are Md. Nehal Ahmed, Professor of BIBM; Rexona Yesmin, Assistant Professor of BIBM; Md. Anwarul Islam, General Manager of Bangladesh Bank; Khondkar Morshed Millat, General Manager of Bangladesh Bank & Mohammad Abdullah Al Masum, Joint Director of Bangladesh Bank.

A good number of participants including senior bank executives, academicians, media representatives, faculty members of BIBM took part in the Review Workshop.

According to the study, an integrated approach of the policy makers and the industry is the key to promote sustainable and green financing.  To sound market development and business, it is crucial to have undistorted and competitive structure. Sustainable banking activities a bank aims at addressing qualities of profitability in economic, social and environment fronts. Thus sustainable banking cannot be desegregated from the key concerns of corporate governance, leadership and CSR practices by banks. Waste Management, bio-diversity, warehouse and green transportation should get due emphasis to obtain required benefits in near future.

S.M. Moniruzzaman,  Chairman of BIBM Executive Committee and Deputy Governor of Bangladesh Bank was present in the review workshop as the chief guest. Helal Ahmed Chowdhury, Supernumerary Professor of BIBM & former Managing Director of Pubali Bank Limited; Yasin Ali, former Supernumerary Professor of BIBM; Md. Touhidul Alam Khan, Deputy Managing Director of Prime Bank Limited; Mohammad Ziaul Hasan Molla, Deputy Managing Director of Bank  Asia Limited; Khondkar Morshed Millat, General Manager of Bangladesh Bank; Md. Nehal Ahmed, Professor of BIBM spoke among others at the event.

Deputy Governor said, Bangladesh Bank mainly focuses three broad areas under sustainable banking i.e. green banking, corporate social responsibility and financial inclusion. The green banking initiatives improve awareness and knowledge of bankers as well as of the customers regarding environmental risks and green financing. From the paper it is noticed that the major financing in green activities is mostly facilitated by PCBs. In the area of CSR, both the banks and NBFIs continued to maintain major share in humanitarian and disaster relief & education.

He also said, to boost up the sector further and contribute the economy through sustainable banking the research team has conceptualized sustainable banking activities and identified some vital issues which need to be addressed by the regulatory body and the banking community as a whole.

 The Director General of BIBM said, output of the study along with opinions and observations made today will help BB to take future actions.

Barkat-e-Khuda said, research team has also made some important recommendations for consideration of operating banks in the country.

"I hope, the deliberations of this review workshop will be very helpful for all concerned," he added.

-rmc//