Govt releases Tk2,500cr cash incentive ahead of Eid to support exporters
On 19 February, Tk1,500 crore was released in the first phase, followed by another Tk1,000 crore yesterday
Ahead of Eid-ul-Fitr, the government has released Tk2,500 crore under the Cash Incentive (CI) and Special Cash Incentive (SCI) schemes to meet the demand for foreign exchange in the export sector.
The funds were disbursed in two phases by the Ministry of Finance.
A senior ministry official told The Business Standard that exporters had requested the release of cash incentive funds, prompting the release of the third installment for the current fiscal year 2025-26.
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On 19 February, Tk1,500 crore was released in the first phase, followed by another Tk1,000 crore yesterday.
Commercial banks will now claim the sector-wise cash incentive funds from the Bangladesh Bank, which will disburse the money according to the banks' requests.
Exporters will receive their due incentives through these commercial banks.
The government provides cash incentives for exports across 43 sectors, including domestic textiles, frozen shrimp and other fish, and leather products.
A 1% special cash incentive is also offered for ready-made garment (RMG) exports.
Incentive rates range from 0.30% to 10%, with the largest beneficiaries being the RMG and textile sectors.
Following the announcement, the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) expressed gratitude to the government for the timely release of funds ahead of Eid.
In a press release dated 3 March, BGMEA Acting Secretary Major Saiful Islam stated that BGMEA President Mahmud Hasan Khan thanked the government's top leadership, the finance minister, the commerce minister, and the central bank governor.
