Bangladesh was an early adopter of Green Banking at the regulatory level in 2011.  This was later broadened to include Social and Governance factors in addition to Environmental when the Environmental and Social Risk Management Guidelines were introduced by Bangladesh Bank.  

Subsequently in late 2020 Bangladesh Bank introduced a specific Sustainable Finance Policy for Financial Institutions that covers both Capacity Building and the asset deployment target setting.

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In early 2021, Bangladesh Bank mandated that 2% of loans issued by financial institutions in Bangladesh should be for green projects.