Many banks are currently working to access sizeable funding from international climate financiers for the purpose of on-lending to green projects while also building the necessary institutional capacity to play this role, Mr Dimantha Seneviratne, Chief Executive Officer of the NDB Bank stated. With the introduction of the "Green Finance Taxonomy," the Central Bank of Sri Lanka, the country's regulator, has aided this process by creating the necessary regulatory framework. He went on to note that Sri Lanka may use the consideration of a debt-for-nature exchange agreement as an important tool in country’s debt restructuring process and could learn from such deals that have been carried out in the South American region.
NDB has been at the forefront of gaining access to these financial sources and has led the banking sector in financing green investments both domestically and abroad. With this extensive history of financing green projects for development, NDB is well-positioned to serve as a financial catalyst for Sri Lanka's transformation to a green economy.
Mr Dimantha Seneviratne made these comments at a high-level event on Strategies and Actions to Accelerate Sri Lanka's Transition to a Green Development Pathway was convened on February 6, 2023, by the Ministry of Environment and the Global Green Growth Institute (GGGI). By officially implementing a green growth model, the event sought to support ongoing efforts to alter Sri Lanka's development. The event brought together important stakeholders from the government, private sector, development partners, academia, and civil society under the patronage of H.E. Ranil Wickramasinghe, President of the Democratic Socialist Republic of Sri Lanka, and by H.E. Ban Ki-moon, President of the Assembly and Chair of the Council of the Global Green Growth Institute and the Eighth Secretary-General of the United Nations.
Dr Achala Abeysinghe, GGGI Asia Regional Director and Head of Programs, chaired a panel discussion at the event on tactics for quickening Sri Lanka's transition to a green economy. Leaders from a variety of sectors shared their thoughts on tactics and strategies. The creation of a green enabling environment in Sri Lanka was discussed by Ms Kumudini Vidyalankara, Director of Climate Change at the Ministry of Environment. She noted that even while the nation has strong policies and plans in place, there are still major challenges that need to be resolved, such as a shortage of funding, technical know-how, and ability.
Sri Lanka became a member of GGGI in 2019. In October 2022, Sri Lanka was chosen to serve as the GGGI's Vice Chair of the Council and Vice President of the Assembly. The Climate Change Secretariat and Policy Planning Division of the Ministry of the Environment is the venue for GGGI.
Strong, inclusive, and sustainable economic growth is something that GGGI is committed to fostering in emerging and developing nations. It plays the role of an enabler and facilitator for Members' transition to a low-carbon green economy by offering policy advice and technical assistance in the creation of green growth plans, policies, and regulations, mobilizing green investments, carrying out green growth projects, and building up local capacities and knowledge sharing.