Bangladesh Bank eases loan rescheduling policy for raw jute exporters
Raw jute exporters can reschedule loans with a 2% down payment of their outstanding loans, says the central bank
The Bangladesh Bank has eased the loan rescheduling policy for raw jute exporters for the next two years.
The central bank in a circular today (16 February) stated that Raw Jute Exporters can reschedule loans with a 2% down payment of their outstanding loans.
The loan outstanding will be calculated based on 31 March 2024, said the circular.
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As a result, the traders can get loans from scheduled banks as their moratorium will be accepted by banks.
Though Bangladesh is the global top raw jute exporter country, the traders have faced difficulties in exporting the item in the last few years.
The traders of this sector said production costs have increased while export prices have stagnated in the global market.
"Outdated technology and old machinery have decreased the productive efficiency of the industry. Inefficient management and corruption have led to operational losses," said Abu Sufiya, a raw jute exporter.
A lack of investment in modernization and innovation has made the industry less competitive, he said.
