The garment sector businesses have urged to fix the defaulted loan exit policy for at least 10 years, as it is impossible to repay loans within the current short timeframe of 3 years due to the present economic situation.

They said this in a view exchange meeting held at head headquarters of Bangladesh Garment Manufacturers and Exporters Association (BGMEA) in Uttara on Sunday.

In the crucial meeting called to discuss banking-related problems faced by its members. The meeting, presided over by BGMEA President Mahmud Hasan Khan, was attended by more than 70 member organizations.

In response, he (Mahmud Hasan Khan) stated that the BGMEA board will quickly hold a meeting with the relevant authorities to discuss all the issues raised in the meeting.

He also called on factories with banking issues to inform BGMEA in writing about their problems immediately.

Forced Loans and Lawsuits: Members reported that many organizations are facing complications such as check dishonor and financial lawsuits due to being victims of forced loans for irregular reasons, which further hinders their operations. They urged the BGMEA board to take a proactive role in resolving this situation.

Tolerant Exit Policy: The members emphasized the need for a tolerant exit policy, stating that it would allow struggling entrepreneurs to exit the business honorably.

Policy Support: It was also suggested that the policy support offered by Bangladesh Bank to entrepreneurs affected by the country's economic crisis should not be limited to large exporters. They strongly urged that small and medium-sized factories also receive this benefit.

Sick Factories: The meeting called for specific measures to solve the problems of 77 long-standing sick factories in the garment sector. It was noted that approximately 400 garment factories have currently ceased production due to banking issues. If they receive policy support, these factories could restart and create an additional one lakh jobs.