BGMEA seeks BB’s support for RMG sector

Staff Correspondent

8 June, 2021 12:00 AM printer

BGMEA seeks BB’s support for RMG sector

A delegation of BGMEA led by its President Faruque Hassan presents souvenir to Bangladesh Bank Governor Fazle Kabir during their visit at central bank office in the capital on Sunday.

Apparel sector trade body, BGMEA has sought support of Bangladesh Bank in the sector’s struggle to recover from the pandemic impacts and restore its competitiveness in global market.

A delegation led by Faruque Hassan, president of Bangladesh Garment Manufacturers and Exporters Association (BGMEA), met with Bangladesh Bank Governor Fazle Kabir at his office on Sunday.

BGMEA senior vice-president SM Mannan Kochi and vice-presidents Md. Shahidullah Azim, Khandoker Rafiqul Islam and Rakibul Alam Chowdhury were also in the delegation.

Faruque Hassan said the country’s RMG sector was going through a “tough time due to an unprecedented crisis caused by the COVID pandemic.”

He expressed gratitude to the Bangladesh Bank for coming forward with policy support for the garment industry when it “fell into deep trouble following the outbreak of the pandemic -- at a time when the sector needed it most.”

“The pandemic is not over yet and the RMG sector is still trying hard to overcome the massive impacts,” Hassan added.

He said given the situation, the support of Bangladesh Bank in terms of simplification and relaxation of financial policies pertaining to the RMG industry would help the sector address the challenges and turn around.

Earlier, the central bank raised loan limits for the garment and textile factories from the export development fund (EDF) to $30 million from $25 million.

BGMEA president urged the central bank to also extend the time limit for the enhanced EDF by six months.

He requested the central bank to extend the repayment period of the loans under the COVID response stimulus package from two years to five years.

Faruque Hassan urged the central bank to write off all debts, interest, and cost of fund charges for the 133 sick RMG factories, taking them into special consideration.

Deputy Governors of Bangladesh Bank Ahmed Jamal and Kazi Sayedur Rahman were also present during the meeting.