BRAC Bank set to issue green bond worth Tk1,000cr

BRAC Bank PLC is set to issue a green bond worth up to Tk1,000 crore at face value to support its green financing activities, according to a disclosure published today (23 May).

The bank's board of directors approved the issuance of the green bond in its meeting held on Thursday. 

According to the disclosure, the bond will be a non-convertible and fully redeemable bond with a three-year tenure through a private placement. Its issuance is subject to approval from the Bangladesh Bank and the Bangladesh Securities and Exchange Commission (BSEC).

The private sector lender offers specialised financing for green projects, including renewable energy initiatives such as solar and wind power, energy-efficient technologies, eco-friendly construction, and responsible waste management through ETP facilities, according to its website.

In October 2025, the bank secured regulatory nod to raise Tk1,000 crore fund by issuing a social bond – the first of its kind in Bangladesh – to strengthen the bank's Tier-II capital under Basel-III as well as to reinforce its long-standing commitment to social development. 

In 2025, BRAC Bank posted a record consolidated profit of Tk2,250.94 crore – the highest in its history – marking a staggering 57% year-on-year growth over the previous year.

With this profit, BRAC Bank became the first local private sector lender to surpass Tk2,000 crore in profit.

Riding on the profit growth, the bank recommended a 30% dividend comprising 15% cash and 15% stock for its shareholders.

To approve the annual financials and dividends, the annual general meeting is scheduled to be held on 11 June virtually.

Meanwhile, the bank maintained its robust earnings in the first quarter of 2026, posting a stellar 44% year-on-year growth in consolidated net profit. 

Its consolidated net profit reached Tk695.68 crore during the January-March period, up from Tk486 crore in the corresponding quarter of the previous year.

This significant bottom-line growth pushed the bank's consolidated earnings per share (EPS) to Tk2.90 for the three-month period, compared to Tk2.02 in the first quarter of 2025.

The bank attributed the surge in profitability to higher earnings driven primarily by incremental investment income and interest income.

The bank's financial health was further reflected in its consolidated net asset value (NAV) per share, which increased to Tk56.12.

The bank noted that the NAVPS growth was a combined result of increased net profits and revaluation reserves arising from strategic investments in government securities