Home / Knowledge / News / Apparel/Garments / Bangladesh minister moots specialised bank for RMG sector
Bangladesh minister moots specialised bank for RMG sector
12
Aug '15
AHM Mustafa Kamal
AHM Mustafa Kamal
Bangladesh planning minister AHM Mustafa Kamal has suggested establishment of a specialised bank for the readymade garment (RMG) sector on the lines of Krishi Bank.
 
The minister said he would try his best to set up a designated bank for the country's garment sector while participating in a discussion on financing apparel growth last week in Chittagong.
 
Kamal said achieving the $50 billion export target by 2021 by the garment industry is possible but difficult. Setting up a specialised bank for the garment sector would ensure low-cost financing and attract more investment, the minister said.
 
Agreeing with the minister, Bangladesh Garment Manufacturers and Exporters Association (BGMEA) president Atiqul Islam said setting up such a bank would help the garment sector meet its needs of low-cost financing for achieving higher compliance and productivity and remain competitive in the international market.
 
Islam said the Japan International Cooperation Agency (JICA) offers loan at 0.01 per cent interest rate, but the final interest rate at the disbursement stage goes up to 10 per cent, as the banking division of the finance ministry charges 4 per cent, Bangladesh Bank 1 per cent, and another 5 per cent is charged by commercial banks for processing the loan.
 
Small and medium apparel enterprises are finding it difficult to relocate their factories from shared buildings to the purpose-made buildings due to shortage of funds, while buyers are showing less interest in placing orders with the factories housed in shared buildings, Islam said.
 
At present, 60 per cent of RMG factories in Bangladesh are housed in purpose-built buildings, while the rest are functioning from shared buildings, according to BGMEA. (RKS)
 

Fibre2Fashion News Desk – India


Must ReadView All

Courtesy: American Silk Mills

Textiles | On 18th Oct 2017

Sutlej Textiles adds American Silk Mills to its portfolio

Sutlej Textiles and Industries Ltd (STIL) has announced the...

Arvind Limited executive directors Punit Lalbhai (left) and Kulin Lalbhai explaining the project to Gujarat chief minister Vijay Rupani. Courtesy: Arvind Ltd

Apparel/Garments | On 18th Oct 2017

Arvind to set up mega apparel facility in Gujarat

Arvind Limited, one of India’s largest textile to retail...

Cotton stocks accumulating everywhere outside of China

Textiles | On 18th Oct 2017

Cotton stocks accumulating everywhere outside of China

Global cotton stocks outside of China are expected to rise by nearly...

Interviews View All

Kaizad Hansotia
GetNatty

Competition is the best thing that can happen to a startup

Dharmendra Shah
Ozone PB Spintex Limited

‘We have made huge investments to ensure quality yarn production.’

Karan Toshniwal
Orange O Tec

Contemporary industry is paying more and more attention to the...

Harmeet Singh

New Delhi-based Jogindra Industries Private Limited provides an assortment ...

Ravindra Jain, Ashish Baid

Oswal Prints Private Limited has been manufacturing and exporting ethnic...

Vikas Banduke

Softech Controls Private Limited (SCPL) is a part of the Cotmac Group, an...

Kevin Nelson
TissueGen

Kevin Nelson, Chief Scientific Officer, TissueGen discusses the growing...

Kerem Durdag
Biovation II LLC

Kerem Durdag, CEO, Biovation II LLC, provides an insight into future...

Eric Scholler
Groz-Beckert

The Indian market has huge potential in technical textiles, and by far,...

Pranav Mishra
Huemn

Designers Pranav Mishra and Shyma Shetty’s Huemn is known for its...

Yash P. Kotak
Bombay Hemp Company

One of the directors of Bombay Hemp Company, Yash P. Kotak, speaks to...

Robert Brunner
Devereux

Golfwear and menswear brand Devereux is set for greener pastures. Robert...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

October 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
77.3%
No
13.6%
Skip
9.1%

Total Votes: 66

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
60.6%
No
28.8%
Skip
10.6%

Total Votes: 66

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
84.8%
No
10.6%
Skip
4.5%

Total Votes: 66

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
74.2%
No
12.1%
Skip
13.6%

Total Votes: 66


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search