Apparel exporters seek Tk3,000cr loans to recoup losses

Apparel exporters have urged the interim government to allocate Tk3,000 crore in soft loans to mitigate the financial losses they incurred due to the student-led mass uprising and the severe flooding that disrupted road communications.

During separate meetings with Finance Adviser Salehuddin Ahmed and Bangladesh Bank Governor Ahsan H Mansur on Tuesday (27 August), exporters said that they need the loan to cover workers' August wages, which they intend to repay in six instalments. 

They also requested a temporary suspension of utility disconnections for up to three months in case of delayed bill payments. 

Additionally, RMG exporters urged the government to use Chief Adviser Muhammad Yunus' connections to secure GSP benefits in the US market.

After the meeting with the BB governor, BKMEA Executive President Fazlee Shamim Ehsan told TBS, "We requested Tk3,000 crore solely for worker salaries. We have previously received similar funding during the pandemic and successfully repaid it."

He also urged the central bank governor not to freeze any business accounts, as such actions can affect interconnected enterprises. 

Ehsan said that they requested the governor to maintain the current allocation of the Export Development Fund (EDF) fund, which should be extended to those who have bond licences.

After meeting with the finance adviser, BGMEA President Khandoker Rafiqul Islam told reporters that RMG exporters and entrepreneurs have been unable to operate at full capacity for the last one and half months due to the student-led mass uprising and severe flash floods.

He also noted that loans are now being classified if entrepreneurs fail to make three consecutive repayments, down from the previous threshold of six instalments.

 "We are requesting that reinstatement of six instalments with the possibility of adjusting it again once the situation stabilises," he added.

The BGMEA president has also called for a suspension of utility disconnections for at least the next three months to provide relief, protect factory operations during bank reforms and safeguard businesses from punitive actions against individuals.

Additionally, BGMEA has requested the formation of a task force to implement necessary policy changes within the NBR and the Bangladesh Bank to create a more business-friendly environment.

The apparel exporters also sought assurances from the interim government regarding power security and pricing, as well as measures to address external influences on the disposal of waste fabrics.

Finance Adviser calls on businesses to ensure transparency

In another meeting with leaders of the International Chamber of Commerce (ICC) at the ERD office yesterday, Finance Adviser Dr Salehuddin Ahmed urged the business community to do their business transparently, honestly and sincerely.

He said, "Please do business transparently and honestly and don't make any transaction under the table."

Salehuddin said the demands made by the business community are not substantial and assured that efforts will be made to address them, even though many of their previous requests were overlooked by the former government.

After the meeting with the adviser, former FBCCI president AK Azad said that they have asked the adviser to take steps to delay the LDC graduation process by three more years, extending it to 2029 instead of the current 2026 timeline.

Apparel exporters for regaining US GSP facility

Bangladeshi apparel exporters are keen to regain the Generalized System of Preferences (GSP) benefits in the United States, which was suspended after the Rana Plaza collapse in 2013.

With Muhammad Yunus now serving as the chief adviser of the interim government, business leaders see an opportunity to leverage his international reputation to restore this facility, BKMEA President Mohammad Hatem told TBS.

The business community hopes that Yunus's leadership and global image could be instrumental in navigating the current economic challenges and restoring GSP benefits, he added.

Businesses laud BB steps against bank looters

In another meeting with the Bangladesh Bank governor yesterday, the Dhaka Chamber of Commerce and Industry (DCCI) expressed its support for Bangladesh Bank's steps against bank looters and money launderers.

After the meeting, DCCI President Ashraf Ahmed told reporters that the reasons behind the increase in lending rates are banking system failure. 

Dishonest traders have stolen millions of funds from banks. As a result, the cost of funds has increased, and at the same time the interest rate has also increased, he pointed out.