IDCOL signed a Funded Activity Agreement (FAA) with GCF to receive USD256.5 million concessional financing to promote energy efficiency in the textile and RMG sectors of Bangladesh.
The signing ceremony was held online, according to a press release.
This is the first concessional GCF credit line for Bangladesh, as well as the first private sector financing of GCF in the country.
This fund will catalyze climate finance in the low-emission and climate-resilient development of the industrial sector.
Sharifa Khan, secretary of the Economic Relations Division and Focal Point of NDA to GCF as well as Chairman of IDCOL, mentioned that the program rightfully chose the two main industrial sectors of Bangladesh that have the potential to pursue sustainable energy management to contribute to the global carbon emission reduction. She also emphasized strengthening the relationship between GCF and Bangladesh to achieve the country's ambitious agenda to support green, clean and resilient development.
Alamgir Morshed, executive director and CEO of IDCOL also expressed his hope and optimism in enhancing access to climate finance for the country. He thanked NDA and GCF for their continuous support in accessing the fund.
Yannick Glemarec, executive director of the Green Climate Fund was also present at the ceremony and congratulated Bangladesh on its achievement.
This programme is a success for IDCOL in terms of accessing climate change funds to pave the path for our country to achieve its Sustainable Development Goals (SDG) and mitigation targets under the National determined Contribution (NDC).