LocationsBridging the Financial Gap: Strengthening Climate Resilience for Vulnerable Communities in Bangladesh
Photo 1: Woman in Hatiya, Bangladesh adversely affected by Climate change induced natural disaster
©UNDP Bangladesh
By Ramiz Uddin, PhD, Head of Experimentation, UNDP Accelerator Lab Bangladesh; Shanjida Khan Shorna, Innovation and Partnership Coordinator, UNDP Accelerator Lab Bangladesh; Samiha Akter Sima, Experimentation and Innovation Associate, UNDP Bangladesh; Shanta Islam, Department of Environmental Sciences, Jahangirnagar University
Hatiya Island, the southernmost settlement of Bangladesh, lies 20 km from the mainland, separated by the Meghna estuary, and faces extreme vulnerability to cyclones, erosion, and climate-induced disasters. The island, covering 2,100 sq. km, has experienced significant land erosion over 45 years, losing 8 sq. km of land and 1.62 km of shoreline, with rapid landward and seaward shifts.
Part of Noakhali district, Hatiya comprises of 74 villages and 11 Union Councils, housing a population of 452,463 with 19.12% in urban areas. The economy relies on fishing, farming, livestock and small-scale trade with key crops including paddy, jute, and oil seeds. Livestock rearing is vital, with buffalo, cows, and goats raised on grass fields and fallow lands.
Hatiya’s communities, especially farmers and fishers, face severe climate threats—saltwater intrusion, soil degradation, and frequent cyclones devastate livelihoods. Erosion forces relocation, while male migration leaves women as primary providers with limited resources. The poorest and most marginalized, particularly women, bear the brunt, facing reduced economic opportunities, restricted decision-making power, and heightened vulnerability. Social norms and responsibilities further hinder women’s ability to adapt to climate challenges, deepening their hardships
Photo 2: Life after a cyclonic event in Hatiya
©UNDP Bangladesh
Climate Adaptation and Livelihood Development in Hatiya: UNDP’s Community-Led Approach
Bangladesh’s coastal communities remain at the frontline of climate change, facing rising sea levels, extreme weather events, and livelihood disruptions. In response, UNDP’s Accelerator Lab, in collaboration with LoGIC (Local Government Initiative on Climate Change), is pioneering community-led climate adaptation in vulnerable areas like Hatiya. By empowering local governments and fostering resilient livelihoods, this initiative integrates climate considerations into local development through capacity building, strategic planning, and infrastructure support.
Understanding Vulnerabilities: Field Assessments and Surveys
The initiative began with rapid climate vulnerability assessments to evaluate risks and identify targeted interventions. The first phase focused on identifying the most vulnerable communities and determining the specific adaptation measures needed. A survey conducted in Burirchar union of Hatiya revealed alarming levels of vulnerability, particularly in Kalirchar, Gucchogram (cluster village), where frequent natural disasters and saline water intrusion threaten daily life.
The findings, based on UNDP Bangladesh’s Climate Vulnerability Index, confirmed that Hatiya’s coastal location exacerbates exposure to cyclones, riverbank erosion, and water salinity, significantly affecting fishing-dependent households. Women-headed households, in particular, faced disproportionate livelihood challenges, emphasizing the need for tailored support programs.
Photo 3: Miserable household condition of climate vulnerable Gucchogram Community people
©UNDP Bangladesh
Community Engagement: Focus Group Discussions & Beneficiary Identification
To design effective interventions, the team conducted interactive Focus Group Discussions (FGDs) with vulnerable groups, particularly women of Kalirchar Gucchogram. These women, many of whom have been displaced due to climate impacts, provided firsthand insights into livelihood struggles and the need for financial inclusion and skill-building.
Through field observations, local leader consultations, and union parishad engagements, the team surveyed 300 beneficiary households, selecting the poorest and most climate-affected individuals for targeted assistance. The intervention focused on Climate Adaptive Livelihood Options (CALOs), offering practical, market-driven solutions tailored to local environmental challenges.
Empowering Women: Climate Adaptive Livelihood Options (CALOs)
As part of the intervention, the CALO initiative initially supported 15 vulnerable women in Kalirchar village, later expanding to 45 women across three groups. These women, verified through NID and mobile banking access, received BDT 30,000 (approximately $250) each through bank accounts or mobile financial services. The funds enabled them to establish climate-adaptive micro-businesses in bamboo product manufacturing, livestock rearing (chickens and ducks), agriculture, traditional mat weaving (Shital Pati), and fishing net production.
Beyond funding, UNDP facilitated business plan development, bank account access, and financial literacy training, ensuring beneficiaries could effectively manage and scale their ventures. Initial fund withdrawals of BDT 5,000 ($42) per beneficiary enabled women to kickstart income-generating activities. Additionally, group-based investments totaling BDT 4,11,000 ($3,435) were allocated to construct poultry sheds for chicken, duck, and pigeon farming, enhancing long-term economic stability.
Towards a Scalable Model for Climate Resilience
The success of this initiative underscores the importance of community-driven climate adaptation. By integrating local knowledge, strategic planning, and financial empowerment, UNDP and LoGIC are fostering sustainable, climate-resilient livelihoods. Moving forward, the program aims to scale interventions, strengthening market linkages and digital financial inclusion for climate-affected women. Through collaborative efforts, this model offers a pathway to resilience, ensuring that vulnerable coastal communities can adapt, thrive, and build a sustainable future despite ongoing climate challenges.
Photo 4: Various CALOs practiced by the beneficiaries
©UNDP Bangladesh
The visit of Her Royal Highness Crown Princess Victoria of Sweden (serving as a Goodwill Ambassador for the UNDP) in Hatiya Island has accelerated the initiative with an immediate call for action. The Crown Princess met with the women beneficiaries, especially those who were displaced by climate change and who had particularly undergone transformative changes to become active change-makers in their communities, with an emphasis on climate change adaptation and sustainable development. The Crown Princess gained insight into the challenges faced by the local community and learnt about the efforts by the UN and the Government of Bangladesh to meet their immediate needs while planning for the longer-term sustainable implications
Photo 5: VVIP team with climate vulnerable women at Kalirchar Gucchogram
©UNDP Bangladesh
Way forward:
To scale the initiative, three additional beneficiary groups (45 vulnerable women) will be trained under CALO. The program will strengthen market linkages for 60 climate-affected women and integrate them into digital financial systems. UNDP Accelerator Lab and LoGIC project are collaborating to enhance women’s capacity from production to sales, ensuring financial inclusion and sustainable livelihoods.
Challenges in CALO Implementation
Interventions in Hatiya faced challenges such as- remote location, poor waterway connectivity, and extreme weather, isolating the community and causing resource losses. Inadequate infrastructure limited market access, while community resistance and generational debt (Dadon) hindered adoption of climate-adaptive techniques. Unpredictable weather and a shortage of field staff and volunteers further impacted training, support, and outreach activities.
Looking ahead: Recommended approaches for Climate-Smart Alternative Livelihood
Strengthen supply chains/ market value chains to ensure timely access to product market and quality inputs.
Improve infrastructure, particularly roads and market access, to support CALO implementation and facilitate economic growth.
Expand training programs to include the group members in learning additional topics i.e. financial literacy, leadership, and entrepreneurship to build local capacity.
Address manpower shortages by recruiting and training field staff to ensure consistent delivery of training and effective follow-up support for beneficiaries.
Establish monitoring systems to track progress, identify gaps, and provide on-ground support in real time.
Foster partnerships with local government and other department as well as private sectors for long-term sustainability and increased resource mobilization.
The interventions in Hatiya enhanced climate resilience and sustainable livelihoods, highlighting the power of collective action. Lessons learned from this experimentation will shape future initiatives for lasting impact.
