Finance Minister Amir Khosru Mahmud Chowdhury has proposed an allocation of Tk 100 crore for the Climate Change Trust Fund in the national budget for the fiscal year 2026-27 to implement necessary climate-related activities as part of efforts to build a green and sustainable Bangladesh for future generations.
He made the announcement while unveiling the budget in Parliament on Thursday.
Finance minister unveiling FY27 budget in Parliament
In the proposed budget for FY27, the Ministry of Environment, Forest and Climate Change has been given Tk 2,240 crore, up from Tk 2,144 crore in FY26 and Tk 1,837 crore in the revised budget of the same fiscal year.
The finance minister said one of the key objectives of the government is to address the challenges of climate change and to build a green and sustainable Bangladesh for future generations.
“Special emphasis has been placed in the budget on maintaining ecological balance through environmental conservation and afforestation,” he said.
“The government will implement a nationwide programme to plant 25 crore trees over the next five years,” Khosru said, adding that afforestation activities will be strengthened across marginal lands, including roads, highways, embankments, riverbanks and canal banks.
He said the government forest areas will be restored and mangrove afforestation will be undertaken in coastal char areas. Besides, afforestation in institutions and homesteads, agroforestry and urban forestry programmes will be further intensified.
Degraded sal forests in the hilly regions (Chattogram, the Chittagong Hill Tracts and Sylhet) as well as in the central region will be restored, the minister said.
He said digital technologies will be used to make afforestation activities more transparent and accountable. GPS and GIS-based databases of afforested areas will be maintained, while a Tree Monitoring App is being developed for digital monitoring and maintenance of plantations.
The initiatives are expected to generate around 350,000 green jobs, both directly and indirectly, Khosru said.
As part of the government's "One Child, One Tree” programme, an action plan has been finalised to facilitate the planting of one crore trees at the homes of students enrolled in government primary schools.
In line with the government’s nationwide tree plantation programme, the ministry has set targets for FY 2026-27 to plant 42,897,000 saplings in 25,960 hectares of block plantations, 3727000 saplings along 3,727 kilometres of strip plantations, 17776000 saplings in 4,000 hectares of mangrove plantations and 56 lakh saplings under homestead afforestation programmes.
To strengthen climate resilience, 50 percent of coastal mangrove forests will be brought under carbon trading mechanisms. The government will also update the national wildlife Red List and assess 2,200 wildlife species, including marine species, to safeguard the country’s rich biodiversity, the minister said.
Under Article 6 of the Paris Agreement, the government has initiated 11 new carbon trading projects. It is also moving towards a "Circular Future Model" in waste management, with plans for energy generation from waste, production of organic fertilisers and plastic recycling, he said.
Addressing air pollution, the minister said air quality is currently monitored through 15 Continuous Air Monitoring Stations (CAMS) and 16 Compact Continuous Air Monitoring Stations (C-CAMS).
“To control vehicular emissions, 10 modern Vehicle Inspection Centres will be established under the Bangladesh Road Transport Authority (BRTA), alongside plans to introduce electric bus services,” he said.
Continuous online stack emission monitoring systems will also be introduced in major polluting industries, including power plants, while new guidelines will be formulated for environmentally sound e-waste management, Khosru added.
He said the government has already banned 17 single-use plastic items identified as harmful to the environment and aims to reduce plastic waste by 30 percent over the next five years through the 3R policy—Reduce, Reuse and Recycle.
The minister said 2,700 of the country's 3,260 industrial establishments required to install Effluent Treatment Plants (ETPs) have already done so, while 820 factories now have IP camera-based monitoring systems for wastewater treatment.
In FY 2026-27, initiatives will be undertaken for sustainable forest management, conservation of endangered forest species, expand afforestation activities and research activities to ensure the innovative technologies reach to the doorstep of the people, he said, adding that priority is being accorded to research, innovation and training activities to address the risks associated with climate change.
Besides, canals adjacent to rivers in the southern region of the country will be excavated to reduce soil salinity in agricultural land, Khosru said.
“As part of a long-term strategy, financing will be provided for projects focused on the development of new crop varieties through organic agriculture, safe fertilisers and environmentally sustainable production practices,” he said.