Research: Demand for CSR among Millennials

IFC’s PaCT Program Drives Sustainable Transformation in Bangladesh’s Textile Industry

The International Finance Corporation's (IFC) Partnership for Cleaner Textile (PaCT) program has significantly advanced Bangladesh's textile value chain over the past decade, enhancing both competitiveness and environmental sustainability.

Since its launch in 2013, the PaCT program has partnered with over 450 textile factories in Bangladesh, promoting climate-smart practices. This initiative has dramatically reduced freshwater consumption by 35 billion liters, enough to meet the annual water needs of more than 1.9 million people. Additionally, it has cut carbon emissions by 723,617 tons annually, equivalent to removing nearly 160,000 cars from the road.

Supported by the governments of Denmark and the Netherlands, PaCT is an IFC advisory program carried out in collaboration with the Bangladesh Garment Manufacturers and Exporters Association (BGMEA). The program has also worked with leading global brands, including VF Corp, PUMA, Levi Strauss & Co, and TESCO.

“PaCT has become a leader in scale and comprehensive activities, particularly in advisory support for energy efficiency and renewable energy,” stated Christian Brix Moller, Ambassador of the Royal Danish Embassy.

As the second-largest exporter in the ready-made garment (RMG) sector, Bangladesh’s textile industry is crucial to the nation’s economy, providing over four million jobs—54 percent of which are held by women—and accounting for 85 percent of the country’s export earnings.

“We deeply appreciate the contributions of IFC’s PaCT program over the past decade. We look forward to its continued impact, driving sustainable and safe growth in our industry,” said Miran Ali, Vice President of BGMEA.

A key achievement of the PaCT program is the launch of the Textile Technology Business Centre, set to become the country’s leading knowledge hub for the textile sector.

The next phase of the PaCT program will focus on advancing circular practices and decarbonization initiatives to address the industry’s carbon footprint. This strategic shift aims to sustain industry competitiveness, promote high-value product manufacturing, facilitate market diversification, and mitigate environmental, social, and corporate governance risks.

“Celebrating a decade of impactful collaboration through PaCT, IFC remains committed to fostering sustainable growth in Bangladesh’s textile industry. We will continue supporting the RMG sector’s ascent in the global supply chain and meeting the demands of a modern, greener market,” stated Martin Holtmann, IFC Country Manager for Bangladesh, Nepal, and Bhutan.

Henri Rachid Sfeir, Manager of MAS Asia Upstream & Advisory at IFC, added, “In our textile sector engagement, initiatives like PaCT are prioritized because sustainability is key to economic growth. As Bangladesh advances to Middle Income status, leveraging economic complexity is crucial for sustainable development. The industry’s global connections and diverse operations are essential for driving innovation and job creation, powering the country’s economy.”

Share this post:

Related CSR News

Do More with your CSR

Sign Up for Free to get CSR News delivered to your Email every week.


Access CSR and Sustainability Data from Companies in Bangladesh

Access Company-wise data on annual CSR & Sustainability Reports, Profiles, CSR Activities, Sustainability Goals and more.

CSR News

Browse the latest News & Initiatives in CSR in Bangladesh

CSR Solutions

See how we can help your company's CSR and Sustanability Goals

CSR Reports

Browse company-wise CSR data and Sustainability Reports

CSR Research

Access Research Reports and Research Services on CSR