Focus on inclusive insurance, risk financing for all
July 18, 2022 9:32:56 p.m.
Speakers at a workshop on Monday called on government, development partners and the private sector to create an enabling environment for inclusive insurance and risk financing for the country’s sustainable development, leaving no one behind.
The event titled “Inclusive Insurance and Risk Finance Country Diagnostic Kick-off Workshop for Bangladesh” was organized at a hotel in Dhaka, by the Financial Institutions Division (FID), Ministry of Finance , the Insurance Development and Regulatory Authority (IDRA), and the United Nations Development Program (UNDP).
Sheikh Mohammad Salim Ullah, Secretary, IDF, Ministry of Finance, attended the workshop as the main guest, while Mohammad Joynul Bari, Chairman, IDRA and Van Nguyen, Deputy Resident Representative, UNDP Bangladesh were the special guests.
Among others, Dr. Baqui Khalily, Chairman of Risk Management Committee, Bank Asia and Abdullah Harun Pasha, Additional Secretary, FID, Ministry of Finance were also present, UNB reports.
Sheikh Mohammad Salim Ullah said: “There is an increasing need for policy makers to be involved in the development of insurance products. They also need to understand how climate change risks might affect their investments and how to mitigate these risks through planning, incentive structures and financial instruments.In this context, to achieve the mission of developing an efficient, inclusive and robust financial services market and system, IDF is continuously working on many projects. of this project is another important step for our institution to enter the groundwork in the inert areas of insurance and risk financing.”
AKM Mamunur Rashid, Climate Change Specialist, UNDP Bangladesh set the tone for the event.
He gave a brief overview of why inclusive insurance and risk financing is essential for Bangladesh to cover the risks of the most vulnerable communities. Jan Kellett, Team Leader, Risk Insurance and Finance Facility (IRFF), UNDP, presented on “Insurance and Risk Finance Facility Initiatives, UNDP and several best practices in the area of inclusive insurance and risk financing”.
UNDP’s Van Nguyen said, “I hope that under the leadership of FID, MoF and IDRA as regulators, strong representation from the insurance industry and key stakeholders involved – the country diagnostic will provide us with clear direction to create an enabling environment to integrate inclusive insurance and risk financing in the country We commit to continue our support in the future to strengthen legislative frameworks, institutional capacities and the sector insurance to improve the resilience of the most vulnerable communities and achieve the Sustainable Development Goals (SDGs) in Bangladesh.”
Also taking speak at the event.
Bangladesh is one of the most vulnerable countries due to its low lying delta ecosystem which exposes the country to several disasters such as flash floods, monsoon floods, cyclones, storm surges, intrusion salinity, drought and unpredictable rainfall, the UNDP said.
The Government of Bangladesh (GoB) wants to explore the insurance industry to consider it as a risk transfer mechanism. UNDP is conducting a national diagnostic that will document and assess risks and vulnerability in Bangladesh taking into account the enabling environment and existing financial instruments.
The diagnostic study will highlight challenges, opportunities and areas where UNDP can, together with its partners, provide the necessary support to government and private stakeholders to improve the enabling environment for inclusive insurance and financing. risks.