The Ministry of Finance has waived cash incentives of Rs 1,000 crore against exports of export-oriented industries. This means the fourth tranche of incentives at 1 percent against exports in FY 2022-23. In a notification on April 12, the office of the Comptroller General of Accounts has given instructions in this regard. Bangladesh Bank has been instructed by the Ministry of Finance and the Office of the Comptroller General of Accounts to clear the amount of cash assistance. BGMEA has asked all industries to contact their respective lien banks to receive cash assistance. Earlier, Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA) and another organization of garment manufacturers and exporters, BGMEA, had written to the Secretary of the Ministry of Finance regarding the exemption of all cash assistance provided against the exports of export-oriented industries before Eid-ul-Fitr.
BKMEA said in their letter that the Russia-Ukraine war has brought the economy of the whole world to a standstill. The country’s industries are struggling to survive and the country’s export sector is going through a tough time. Due to the global recession, most of the factories do not have enough work orders. The production is running at 50-60 percent capacity, which is making it difficult to export the workers’ salary at the end of the month. Also, the export bill is not being paid by the buyers on time.