Dhaka, Bangladesh, November 22, 2009—IFC,
a member of the World Bank Group, is working with the Bangladesh Export
Processing Zones Authority to increase the availability of financing for
businesses interested in investing in renewable energy or energy efficient
IFC hosted a seminar on sustainable
energy finance last week, that brought together Bangladesh zone authorities
and entrepreneurs operating within existing zones. The seminar included
sessions on business and environment, the basics about climate change,
opportunities and risks stemming from climate change impacts, and financing
options for environment-friendly projects.
“We expect this seminar will generate enthusiasm for renewable energy
and energy efficiency among our businesses,” said Mahbubur Rahman, member
of the Bangladesh Export Processing Zones Authority. “IFC can bring expertise
in developing financial products suitable for zones.”
The seminar was held in the Dhaka Export
Processing Zone and will be followed by similar seminars in the Comilla
and Chittagong export processing zones early next year.
“Economic zones are ideal places to
pilot sustainable energy initiatives because we can work with collective
groups of like-minded entrepreneurs to help them find the right financing
options to meet their needs,” said Roger Handberg, IFC Program Manager
for Access to Finance.
The Bangladesh Investment Climate Fund,
managed by IFC in partnership with the United Kingdom’s Department
for International Development and the European Commission, has a comprehensive
program on environmental management in economic zones that aims to increase
environmental compliance among businesses.
The SouthAsia Enterprise Development
Facility, managed by IFC in partnership with DFID and the Norwegian Agency
for Development Cooperation, is working with the Bangladesh Central Bank
and private financial institutions to provide funds for green business
investments. Bangladesh Bank recently created a refinancing mechanism to
finance effluent treatment plants and biogas and solar projects, affording
businesses financing at a lower interest rate.
IFC is the only international financial
institution focused exclusively on the private sector, the engine of sustainable
development in emerging markets. Along with IBRD, it is currently seeking
a capital increase to strengthen its ability to create opportunity for
the poor in developing countries—including by increasing financing for
renewable energy or energy efficient projects.
IFC, a member of the World Bank Group,
creates opportunity for people to escape poverty and improve their lives.
We foster sustainable economic growth in developing countries by supporting
private sector development, mobilizing private capital, and providing advisory
and risk mitigation services to businesses and governments. Our new investments
totaled $14.5 billion in fiscal 2009, helping channel capital into developing
countries during the financial crisis. For more information, visit www.ifc.org.