IDCOL has till date extended around BDT 920 financing to 18 energy efficient equipment projects- including setting up of energy efficient Vertical Roller Mills (VRM) machines in the cement industry and procurement of various energy-efficient machines in the spinning & textile, RMG and oil refinery industries etc. Energy efficient equipment is financed with the external credit lines funded by JICA and AFD along with utilizing IDCOL’s own funds- as required. IDCOL has also signed a credit facility agreement worth EUR 43.35 million to finance energy efficient projects.

Over the period of FY 2017-2022, IDCOL’s portfolio in this segment has more than tripled – which reflects the growing financing demand for energy efficient equipment in the market. Currently, this segment accounts for 21% of IDCOL’s total portfolio- which is expected to increase significantly in the coming years as IDCOL shifts its focus towards this segment.

To support the government’s initiative to gradually replace the country’s polluting FCK based brick sector with energy efficient and environment friendly ones, IDCOL launched its ‘Green Brick Program’ in 2013 for setting up modern brick kilns using latest state of the art technology. Since then, IDCOL has been providing long term concessionary financing to encourage potential sponsors to set up environmentally friendly brick kilns. In this regard, IDCOL approved around BDT 224 crore financing for 6 tunnel kiln and 1 HHK brick projects, with aggregate daily production capacity of 1.14 million bricks. Till date, over BDT 180 crore financing has been extended. IDCOL has also collaborated with Frankfurt School of Finance & Management GmbH (Frankfurt School) under the project, ‘Technical assistance (TA) for financing brick kiln in Bangladesh’ supported by United Nations Environment Program (UNEP) through funding from the Climate and Clean Air Coalition (CCAC).