Bangladesh Garment Manufacturers and Exporters Association (BGMEA) has sought support of the government for the RMG industry to overcome the impacts of the Covid-19 pandemic and turn around. A delegation of BGMEA led by its acting President SM Mannan (Kochi) made the call during a meeting with Senior Secretary to the Finance Ministry Abdur Rouf Talukder at the Secretariat on Tuesday. Former BGMEA President Md. Shafiul Islam (Mohiuddin), MP, BGMEA Vice President Shahidullah Azim, Vice President (Finance) Khandoker Rafiqul Islam and Director M. Ahsanul Hoq were also present at the meeting. The BGMEA leaders said the export-oriented apparel sector is still passing through tough times prolonged by the second wave of the Covid-19 in the country. Read: BGMEA President calls for fair prices from US buyers Moreover, they said major export markets of Bangladesh including Europe are yet to get back to fully normal state. It was expected that the apparel sector could turn around with improvement in the pandemic situation but the surge of new variants and infections put the industry in challenges again, they added. They requested the government to extend the payback period of the loans under the Covid response stimulus package from the existing 18 months to 36 months to help the sector to overcome the hurdles. They urged the government to write off all debts, interest, and cost of fund charges for the 133 sick RMG factories, taking them into special consideration. Read: BGMEA urges AAFA to promote Bangladesh’s business interests in US market The BGMEA leaders also called for an exit policy for businesses who want to shut down their businesses safely, similar to Chapter 11 which exists in most of our competing countries. They requested the government not to treat compliant units of a group of companies as loan defaulters for loan defaulting by any of its concerns, as other profitable and compliant enterprises of the group would be affected due to it.

Bangladesh Garment Manufacturers and Exporters Association (BGMEA) has sought support of Bangladesh Bank for the RMG industry in its struggle to overcome the impacts of the Covid-19 pandemic and retaining competitiveness in the global market.  BGMEA President Faruque Hassan said the RMG industry was going through a tough time due to an unprecedented crisis caused by the Covid pandemic.  A delegation of the BGMEA led by its President had a meeting with Bangladesh Bank Governor Fazle Kabir at the central bank on Sunday afternoon and discussed the issue, said apex body of the apparel industry on Monday.  The BGMEA delegation included Senior Vice President SM Mannan (Kochi), Vice President Md. Shahidullah Azim, Vice President (Finance) Khandoker Rafiqul Islam, Vice President Rakibul Alam Chowdhury and Directors. He thanked 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.  READ: BGMEA wants continuation of 0.5 per cent source tax The pandemic is not over yet and the RMG sector is still trying hard to overcome the massive impacts, 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 to address the challenges and turn around, said the BGMEA chief. Earlier, Bangladesh Bank extended the loan limit of garment and textile factories from the export development fund (EDF) to $30 million from $25 million.  Faruque urged the Bangladesh Bank to extend the time limit for the enhanced EDF by six months. He requested the BB to extend the payback period of the loans under the Covid response stimulus package from two years to five years as the sector is going through a rough patch. He also 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. READ: It’s a very significant budget: BGMEA Deputy Governors of Bangladesh Bank Ahmed Jamal and Kazi Sayedur Rahman were also present at the meeting.