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BGMEA Urges World Bank To Expand Funding For Sustainable Water Management In Bangladesh Garment Sector

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Bangladesh’s garment manufacturers’ association has urged the World Bank to expand funding and the scope of a water security programme to help the country’s apparel industry adopt sustainable water management technologies.

The call came at a high-level meeting on Wednesday between Bangladesh Garment Manufacturers and Exporters Association (BGMEA) President Mahmud Hasan Khan and a World Bank delegation led by Mara K. Warwick, Regional Director for Sustainable Development in South Asia, at the BGMEA complex in Uttara, Dhaka.

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BGMEA Director Dr. Md. Hasib Uddin also attended the meeting. The World Bank delegation included Lead Water Specialist David Melcom Lord, Senior Water Supply and Sanitation Specialist Rokeya Ahmed, Water Specialist Md. Mahadi Hasan and Environmental Specialist Bushra Nishat.

Khan said water management was no longer only an environmental issue but was directly linked to Bangladesh’s international trade and global competitiveness.

International buyers, particularly European brands, are increasingly looking for data on water consumption reduction, wastewater treatment and water recycling at different stages of garment production, he said.

“There is no alternative to adopting modern water-efficient technologies, both to protect Dhaka’s rivers and groundwater levels and to maintain access to export markets,” Khan said, according to the statement.

Also Read: Bangladesh Targets $3 Billion Japan Apparel Exports Via New BGMEA Desk

The meeting reviewed the World Bank-supported Dhaka Water Security and Resilience Program (D-Water) and a $5 million Viability Gap Funding (VGF) pilot project under the programme.

BGMEA had initially proposed a list of 31 factories for the project, from which the World Bank will begin work with eight factories.

BGMEA said the $5 million funding and the number of selected factories were inadequate compared with the strong interest and demand among local garment manufacturers for sustainable technologies.

Khan therefore urged the World Bank to substantially increase both the funding and overall scope of the project.

BGMEA representatives said high investment costs remained one of the biggest barriers to sustainable water management in the garment industry, making it difficult for factory owners to ensure the financial viability of such projects.

They also cited difficulties in obtaining appropriate prices in international markets amid the current global economic slowdown.

International development partners such as the World Bank could help manufacturers move ahead with the transition by providing larger-scale grants or long-term financing at zero or highly concessional interest rates, BGMEA said.

The meeting also highlighted infrastructure constraints facing factories.

While many factories have space for their own effluent treatment plants (ETPs), some lack access to suitable nearby water bodies or drainage systems. Smaller and medium-sized factories, meanwhile, often lack the financial capacity to establish large treatment plants individually.

As an alternative to permanent pipeline infrastructure, participants proposed transporting industrial waste through trucks or tankers and developing cluster-based treatment facilities.

They also called for the initiatives to be expanded beyond Dhaka to other industrial areas across Bangladesh.

BGMEA also stressed the importance of policy predictability for encouraging long-term environmental investment.

The association urged authorities to avoid sudden changes to environmental policies and regulations and to provide sufficient advance notice before introducing new requirements.

Predictable regulations would encourage factories to make greater long-term investments in environmentally sustainable technologies, BGMEA representatives said.

The World Bank delegation welcomed the proposals and assured BGMEA of continued logistical and overall support to accelerate the green transformation of Bangladesh’s garment industry, the statement said.

Emphasis was placed on ensuring an environment conducive to sustainable investment in the industrial sector by avoiding abrupt changes to environmental policies or government regulations, and instead providing adequate notice and advance information before their implementation. BGMEA leaders noted that regulatory predictability would further encourage factories to undertake long-term, eco-friendly investments.

At the conclusion of the meeting, the World Bank delegation received the BGMEA leaders’ proposals very positively and gave strong assurances of continued support—including logistical assistance—to accelerate the green transformation of Bangladesh’s ready-made garment sector.

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