DHAKA, June 19, 2026 – Bangladesh has placed infrastructure development, food security and water resource management at the centre of its climate resilience strategy in the proposed Fiscal Year 2026-27 (FY27) budget, underscoring the government’s determination to address the growing challenges posed by climate change.
Three key government entities—the Local Government Division (LGD), the Ministry of Agriculture (MoA) and the Ministry of Water Resources (MoWR)—will collectively account for more than 53 percent of the country’s total climate-related expenditure of Tk 51,746 crore. The substantial allocation reflects the government’s continued emphasis on protecting vulnerable communities, safeguarding food systems and strengthening critical infrastructure against climate risks.
In his budget speech, Finance Minister Amir Khosru Mahmud Chowdhury said Bangladesh stands at a critical juncture where climate vulnerability intersects with the country’s pursuit of sustainable and inclusive development. He described climate finance not merely as a source of support but as a key enabler of resilience, innovation and sustainable development, reaffirming the government’s commitment to building a green and climate-resilient Bangladesh for future generations.
The Local Government Division has received the largest climate allocation of Tk 11,219 crore, representing 27.88 percent of its total budget. As the government’s primary platform for community-level adaptation, the division will continue implementing projects aimed at strengthening local resilience through the construction of climate-resilient rural roads, bridges and culverts, the development of cyclone and flood shelters, the excavation of canals to improve drainage systems, and the expansion of safe drinking water and sanitation services in vulnerable areas.
The Ministry of Agriculture has been allocated Tk 10,623 crore for climate-related programmes, accounting for 36.78 percent of its total budget. The ministry’s efforts are primarily focused on ensuring national food security by promoting climate-smart agricultural practices and developing salinity-, drought- and flood-tolerant crop varieties, including BRRI Dhan-67. It will also expand climate-smart irrigation systems and soil health management technologies. More than 95 percent of the ministry’s climate allocation has been directed towards food security, social protection and health programmes, reflecting the importance of sustaining agricultural production amid increasingly unpredictable weather patterns.
Meanwhile, the Ministry of Water Resources has been allocated Tk 5,825 crore, with climate expenditure accounting for 55.31 percent of its total budget, the highest proportion among all ministries. The ministry will lead several infrastructure-based adaptation projects, including riverbank protection, flood management, land reclamation and salinity control programmes. One of its flagship initiatives involves excavating 20,000 kilometres of canals and rivers over the next five years to improve drainage capacity, enhance navigability and strengthen the country’s ability to manage water-related climate risks.
The government’s climate spending priorities are closely aligned with the broader strategic objectives outlined in the FY27 budget. According to the finance minister, one of the ten strategic priorities is the management of life, nature, environment and water resources to protect the country from the impacts of climate change while preserving biodiversity and ensuring sustainable development.
The combined investments by the Local Government Division, Ministry of Agriculture and Ministry of Water Resources indicate that Bangladesh’s resilience strategy is firmly anchored in strengthening local infrastructure, ensuring food security and improving water management systems. As climate-related threats continue to intensify, these investments represent not only an effort to protect lives and livelihoods but also a long-term commitment to building a sustainable, green and climate-resilient future for generations to come.
