In a pivotal move towards sustainable finance and gender equality, experts gathered at a roundtable in the capital on Thursday to discuss the transformative potential of “orange bonds” in promoting financial inclusion for smallholder farmers and female entrepreneurs. The event, hosted by the United Nations Development Programme (UNDP) and Impact Investment Exchange, focused on building inclusive financial markets to address economic, gender disparities, and climate risks.
Bangladesh’s MSMEs, comprising 25% of the GDP and employing 80% of industrial workers, face challenges such as limited access to capital and technology. Women-owned MSMEs, despite government initiatives like the Gender-Responsive Budget, encounter significant socioeconomic inequities, with over 60% of their financial needs remaining unmet.
Priyank Tiwari, the emcee, highlighted the Orange Movement aligned with SDG 5 (Gender Equality), aiming to empower women in climate initiatives and enhance investment attractiveness. Maliha Muzammil, Program Specialist – Climate Change of UNDP, emphasized the intersectionality of gender equality and climate issues, particularly affecting women-headed households.
Mamta Kohli, Regional Gender, Social Inclusion & Adaptation Specialist of UNDP, stressed the need to raise funds for young female entrepreneurs and adapt financial strategies. Professor Durreen Shahnaz, CEO and Founder of Impact Investment Exchange (IIX), discussed the necessity of integrating development and finance for inclusive and sustainable growth, advocating for data-driven decision-making and gender equality.
Zafar Sobhan, Editor of Dhaka Tribune, highlighted Bangladesh’s empowerment of women and the increasing number of entrepreneurs. Bijon Islam, Co-founder & CEO of LightCastle Partners, addressed challenges in the MSME sector, expressing optimism for growth with solutions.
In the open session, speakers proposed action items, including the issuance of a $100 million women-focused orange bond in Bangladesh, attracting global investors, launching the IONS intelligence platform for MSME data, unveiling the Orange Seal certification for gender-inclusive businesses, and fostering a coordinated approach among stakeholders.
The emergence of “orange bonds” signifies a groundbreaking initiative towards financial inclusion and gender equality, paving the way for transformative financing in Bangladesh. Stay tuned for updates on this innovative approach to reshape the financial sector’s landscape.
