Close on the heels of tannery owners writing to the commerce ministry seeking a Taka 500 crore loan facility, banks in the country have decided to make available Taka 259 crore loans as capital aid to the tanners to procure and preserve rawhides during the upcoming Eid-ul-Azha festival.
This is as per reports which added banks do not want to lend to tannery entrepreneurs as a large part of their previous loans are in default.
A total of 12 public and private banks will reportedly disburse the loans among applicants with state-owned ones lending the maximum amount even if the loan amount, determined by the Bangladesh Bank, which is the central bank of Bangladesh is reportedly Taka 184 crore less than that of last year.
Meanwhile, speaking to the media, Chairman of the Bangladesh Tanners Association (BTA) Md Shaheen Ahmed, reportedly added tannery owners do business with their own working capital, but they need more cash during Eid-ul-Azha when millions of animals are sacrificed.
