Bangladesh Bank has introduced a soft loan facility for readymade garment (RMG) factory owners to cover August salaries, amid ongoing instability. The decision follows a meeting between the central bank Governor and BGMEA leaders, addressing the sector’s severe challenges.
BGMEA President Khandoker Rafiqul Islam reported that production disruptions and negative export growth, exacerbated by recent student protests, prompted the request for financial assistance. The loan, estimated at around Tk 2,800 crore, is intended to ensure timely salary payments. It will be repaid within six months, with funds directly transferred to workers’ accounts. The unrest, including student protests and political disturbances, has affected the garment industry and overall economic stability. Export earnings for June and July were approximately $3.1 billion and $3.19 billion, respectively, with similar expectations for August. The situation remains critical as the country adjusts to political changes and economic pressures.
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