AFI’s South Asia Regional Financial Inclusion Initiative (SARFII) members met in Dhaka this week to learn from Bangladesh Bank‘s experience in Inclusive Green Finance (IGF) policy design and implementation. The peer learning exchange program aimed to build members’ institutional capacity to advance IGF regionally.

Vulnerable groups, including MSMEs and women, still have limited access to the financial products and services they need to strengthen their climate resilience, while climate change increasingly threatens the region’s financial stability.

“It’s critical that we address inequality across people,” said Bangladesh Bank Deputy Governor, Dr. Md. Habibur Rahman.

“As regulators, our responsibility is to focus not only on sustainability, but also on inclusiveness,” said AFI’s SARFII Regional Manager, Nangsi Dema. “We must unite to build climate resilience and get faster financial relief to the last-mile vulnerable communities during climate disasters.”

Bangladesh Bank has emerged as a regional leader in IGF, developing a Sustainable Finance Policy, an Environmental and Social Risk Management (ESRM) framework, Climate Risk Management Guidelines and damage indicators, sustainability and climate-related financial disclosure requirements, and among others.

Representatives from Nepal Rastra Bank, State Bank of Pakistan, Maldives Monetary Authority and Central Bank of Sri Lanka also shared their country’s IGF challenges and successes.

While every member has advanced at different stages of their sustainable-finance journeys, several common priorities emerged, including credible policy and regulatory frameworks, practical taxonomies, proportionate risk management, clear financing and reporting approaches, stronger implementation capacity, and improved data.

Progress made this week will contribute to the objectives outlined in SARFII’s Regional Working Paper (RWP), titled IGF Implementation Challenges and Country & Regional Recommendations for South Asian Nations.

The peer learning program also echoes AFI’s recently launched Port Moresby Compact on IGF – a collective call and global commitment to moving IGF from policy to practice.