Bangladesh and Indonesia engaged in a high-level exchange on sustainable finance in demonstration of their shared commitment to advancing sustainable economic growth. A delegation of senior representatives from Bangladesh’s Economic Relations Division (ERD), Ministry of Finance, led by the Cabinet Secretary, and ERD Additional Secretary, and supported by the United Nations Development Programme (UNDP) and Impact Investment Exchange (IIX), visited Indonesian capital Jakarta from 24 to 27 February. The delegation was joined by ERD Secretary Shah Abdur Rashid, according to a press release.

Additional Secretaries AKM Sohel, Joint Secretaries Razibul Islam, Ashfaqul Islam Mukut, and other senior officials were also present. The visit provided an opportunity for both nations to explore how financial instruments such as Green Bonds, Sukuk, Orange Bonds, and other thematic financing models can mobilize capital for national sustainable development.

The delegation engaged with Indonesia’s financial policymakers, bond issuers and climate-aligned project funders to understand how sustainability-focused finance has been successfully used to drive economic resilience, adaptation and climate development priorities.

“Bangladesh is committed to building a sustainable and resilient economy, and the mobilizing of green finance is a vital step forward to unlocking innovative financial solutions through capital markets. By learning from Indonesia’s successful experience in green finance and social and sustainability aligned investments, we aim to develop financial mechanisms that will not only support our climate goals but also ensure inclusive economic growth for all Bangladeshis,” said AKM Sohel, UN Wing Chief and Additional Secretary of the Economic Relations Division (ERD).

Indonesia has been recognized as a leader in sustainable finance, particularly in utilizing innovative financial instruments such as the Green Sukuk and sustainability bonds. These instruments have not only addressed climate and sustainability priorities, but also widened their impact to meet the issues particularly most affecting underserved populations, with Bangladesh looking to issue Green Bond and their inaugural Orange Bond, recognizing that sustainability must encompass more than just environmental concerns.

IIX, a global leader in gender-lens investing coupled with climate action, is actively supporting both countries in structuring their Orange Bond frameworks, providing technical expertise, and facilitating access to impact-driven capital markets. At a welcome dinner hosted by IIX, the delegation engaged with key organizations leading Indonesia’s sustainable finance initiatives across public, private, and philanthropic sectors.

“Sustainable finance must be both inclusive and catalytic, ensuring that the success of Orange Bonds is not just measured through impact metrics and gender-responsive goals, but also by demonstrating how innovation in finance can mobilize capital and deliver long-term results,” said Durreen Shahnaz, CEO and Founder of IIX. The Bangladesh delegation also discussed the broader needs for local capacity building and long-term sustainable finance pathways through South-South partnerships, and the value of regional cooperation that is scalable. IIX and UNDP pledged to continue to support this regional knowledge exchange at scale.

Bangladesh’s visit reinforced the importance of investing in people and planet, and of using capital markets to drive the sustainable development agenda forward.

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