An advocacy workshop titled “Strengthening Climate Risk Financing and Insurance for Coastal Bangladesh” was held on Thursday  at Conference Hall of Hotel Western Inn, Khulna. 

The workshop brought together stakeholders to discuss the country’s increasing climate risks, existing financing mechanisms, and opportunities for improving insurance systems.

Moderated by Professor Anwarul Kadir of Sundarban Academy, Khulna, the speakers highlighted that Bangladesh is recognized as one of the most climate-vulnerable countries in the world due to its geographical location. 

According to the World Risk Report 2025, Bangladesh ranks 11th in terms of risk, while the Germanwatch Climate Risk Index 2026 places the country 13th globally in long-term climate vulnerability, facing significant loss of life and substantial economic damage due to extreme weather events.

The coastal region of Bangladesh, stretching approximately 710 kilometers across 19 districts, is regularly affected by cyclones, floods, sea-level rise, salinity intrusion, heavy rainfall, and prolonged waterlogging. These climate hazards severely impact livelihoods, food security, healthcare, housing, and employment in the region.

It was also shared that under the leadership of AOSED, the Multi-Actor Partnerships on Climate and Disaster Risk Finance and Insurance (MAP-CDRFI) project is being implemented in Bagerhat and Satkhira districts with financial support from BMZ and technical assistance from CARE Bangladesh. From 2023 to 2026, the project has established 66 multi-actor platforms involving 1,513 stakeholders. To date, 431 capacity-building sessions and 24 policy dialogues have been conducted, with key recommendations presented at national and international platforms, including UNFCCC and COP.

Participants emphasized the urgent need to ensure transparent, accountable, and effective utilization of the Loss and Damage Fund. They also stressed the importance of introducing index-based insurance, expanding agricultural rehabilitation support, strengthening Tidal River Management (TRM) and river systems, and increasing investment in climate-resilient infrastructure. Additionally, they highlighted the need to introduce a single-window climate finance mechanism at the local level, ensure block allocations and emergency funds, and enhance transparency and accountability in fund management.

Based on research conducted by the Centre for Climate Justice Bangladesh, key recommendations included developing union-level Climate Vulnerability Index (CVI) databases, introducing forecast-based early financing mechanisms, providing premium subsidies for crop, fisheries, and livestock insurance, strengthening climate-sensitive budgeting at the local government level, and piloting parametric insurance and pooled funding models.

Source - https://dailycountrytodaybd.com