B Mirror Report: The United Nations Development Programme (UNDP) and City Bank PLC have signed a Memorandum of Understanding (MoU) to accelerate climate finance in Bangladesh by advancing the country’s growing thematic bond market, with a strong focus on green investments.

The agreement was signed at City Bank’s head office by UNDP Bangladesh Resident Representative Stefan Liller and City Bank PLC CEO Mashrur Arefin, according to a press release issued today.

The partnership marks a significant step toward mobilizing private sector investment for climate-resilient development. Under the MoU, UNDP will provide technical assistance to support City Bank in issuing the first green bond by a commercial bank in Bangladesh.

The proposed bond will finance eligible green projects, particularly those related to climate adaptation and mitigation. The initiative is seen as crucial given Bangladesh’s high vulnerability to climate change and the existing global gap in adaptation financing.

Speaking on the occasion, Stefan Liller said unlocking new sources of climate finance is essential for a country like Bangladesh, which remains on the frontlines of climate change. He noted that the collaboration would help connect sustainable finance with local needs and opportunities.

Mashrur Arefin said City Bank is actively working on issuing a green bond and emphasized that the partnership with UNDP would bring technical expertise and global reach to unlock new financing avenues and accelerate sustainable growth.

To ensure compliance with international standards, UNDP will also provide guidance on green bond frameworks, impact measurement, reporting, and governance of proceeds. These measures are expected to enhance transparency and credibility, helping attract both local and international investors.