BGMEA thanks govt for releasing Tk 2,500 crore in export incentives

BGMEA logo.

Dhaka, Mar 3 – The Bangladesh Garment Manufacturers and Exporters Association (BGMEA) has welcomed the government’s decision to release Tk 2,500 crore against outstanding cash incentives for the export-oriented ready-made garment (RMG) and related sectors.

BGMEA President Mahmud Hasan Khan expressed deep gratitude and sincere thanks to the top levels of the government, including the Finance Minister, Commerce Minister, and the Governor of Bangladesh Bank, describing the move as a "critical and timely intervention" during the current crisis in the apparel industry.

President Hasan noted that the fund allocation brings significant relief to factory owners who are facing immense pressure to clear workers' wages, allowances, and bonuses ahead of the upcoming Holy Eid-ul-Fitr, alongside settled utility bills for electricity and gas.

The current BGMEA board recently held several rounds of productive discussions and meetings with high-level government officials, the Ministry of Finance, and Bangladesh Bank to secure the release of these stuck cash incentives. Following these efforts, the Tk 2,500 crore fund was approved within a very short timeframe.

According to a notification issued by the Ministry of Finance, the total allocation was granted in two phases under the first part of the third installment for the 2025-26 fiscal year: Tk 1,500 crore in the first phase and Tk 1,000 crore in the second.

The BGMEA has urged its member factories to contact their respective banks to take the necessary steps to process the funds. - UNB