Women outnumber men as sustainable finance recipients

Women and rural entrepreneurs are leading Bangladesh's shift toward a climate-resilient economy, taking the lion's share of the country's growing sustainable finance portfolio.

Women borrowers accounted for 55 percent of the total 10.9 lakh sustainable finance recipients in the first quarter of 2026, outnumbering male borrowers, according to the latest quarterly review report on sustainable finance by Bangladesh Bank (BB), published last week.

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The data revealed that over 73 percent of the borrowers are located in rural areas, especially those operating in the small business and agricultural sectors.

The BB said total sustainable finance disbursements topped Tk 100,057 crore during the January-March 2026 quarter.

Micro, small, and medium enterprises (MSMEs) absorbed Tk 36,537 crore, or 36.5 percent of total disbursements. Loans given to sustainability-linked initiatives accounted for nearly 42 percent of the total disbursement.

Banks led the disbursement drive, financing Tk 97,558 crore, while the rest was disbursed by finance companies.

The central bank highlighted the evolving regulatory landscape that has enabled this transition.

"Over time, Bangladesh Bank has established a comprehensive sustainable finance architecture through a clear chronology of regulatory interventions, enabling the financial sector to systematically integrate environmental, social, and governance considerations into mainstream financing decisions," Bangladesh Bank noted in the report.

Despite the quarter's strong overall performance, direct green finance disbursements—targeted at pure eco-projects like renewable energy—recorded a quarterly decline to Tk 5,196.70 crore.

Addressing this variance, the central bank emphasised the need for consistent policy implementation.

"While variations in quarterly trends highlight the need for continued policy alignment and capacity building, the overall direction remains positive and consistent with national development priorities," the central bank observed.

It added that its ongoing policy refinements and refinancing schemes are expected to "further stabilise and enhance sustainable finance flows in a gradual and sustained manner" going forward.