Domestic investment for impact-driven businesses sought

A roundtable in Dhaka has brought together investors, banks and financial institutions to explore ways to mobilise domestic capital for small and growing businesses that promote green and inclusive growth.

LightCastle Partners, with support from the Embassy of Switzerland in Bangladesh and in partnership with Truvalu Bangladesh and the United Nations Capital Development Fund (UNCDF), organised the closed-door discussion titled ‘Scaling Impact Through Finance’ at Hotel Sheraton in Dhaka.

The discussion focused on barriers preventing domestic capital from reaching impact-oriented businesses and ways to reduce investment risks to attract private financing.

Sustainable finance disbursement by banks and finance companies reached Tk 960.04 billion in April�"June 2026, while green finance accounted for Tk 61.58 billion, or around 6 per cent of the total, according to the event organisers.

Ameena Chowdhury, senior programme manager at the Swiss embassy, said catalytic financing should attract private investment rather than replace it, stressing the need to mobilise domestic capital on a larger scale.

LightCastle Partners CEO Bijon Islam presented the company's upcoming Bangladesh-based impact fund, which will invest in commercially viable small and growing businesses with measurable social and environmental outcomes.

He cited an estimated financing gap of more than $70 billion for micro, small and medium enterprises, saying catalytic capital could help reduce investment risks and unlock private financing.

Willem Grimminck, managing director of OneTrueValue, presented the ORE II Fund, which invests in climate-vulnerable small and medium-sized enterprises, particularly those pursuing renewable energy and other climate-related outcomes alongside commercial growth.

The two funds aim to build investment track records in underserved sectors and create pathways to financing from banks and institutional investors.

Sharawwat Islam summarised the key barriers and potential solutions raised during the discussion and outlined the next steps.