If recent media reports are something to go by, garment exporters of Bangladesh would soon be enjoying additional 1.0 per cent cash incentive.
The Government is soon going to issue a circular to this end amidst less-than-expected export growth due to global competition.
Garment exporters, who have so far been deprived of the facility, will then get 1.0 per cent incentive as proposed in the budget for the current fiscal year and the Finance Minister has already given its approval to a finance division proposal in this regard, underlined a media report.
The finance division will ask the Bangladesh Bank (BB) to publish a revised circular in this regard. Earlier on 10 October, the central bank issued a circular to this effect.
It may be mentioned here that the national budget for FY 2019-20 proposed a significant rise in the allocation for the country’s readymade garment sector, taking its contributions and potential into account.
It also set aside an additional allocation of Taka 28.25 billion for the sector, which is receiving Taka 15 billion in the current fiscal year.