Leaders of Bangladesh’s textile and ready-made garment (RMG) industries have requested government assistance through a soft loan to cover July’s salaries and utility bills, citing a severe financial crisis caused by recent disruptions related to quota movement protests. The Bangladesh Textile Mills Association (BTMA) and the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA) submitted their appeals to Finance Minister Abul Hassan Mahmood Ali, the prime minister’s private industry and investment adviser, the Bangladesh Bank governor, the state minister for commerce, and other relevant ministries.
The industry leaders are seeking a loan at a 2% interest rate with a one-year repayment period and a six-month deferral on existing loans. BTMA President Mohammad Ali Khokon highlighted the recent business crisis and factory shutdowns, requesting similar loan terms for gas and electricity bills. BKMEA President AKM Salim Osman echoed this appeal, emphasizing the potential for delayed worker salaries without the loan, which could lead to chaos.
The BTMA also called for commercial banks to pay accepted/matured bills on time for yarn and fabric supplied by BTMA members to alleviate working capital shortages. The recent internet blackout and production halts affected export and import activities for about a week, causing significant financial losses. Business leaders are urging government assistance to offset these losses.
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