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Japan to extend $10mn for Bangladesh RMG building safety
31
May '13
Japan will extend a sum of Tk 1 billion (US$ 10 million) to Bangladesh for reconstruction of readymade garment (RMG) manufacturing factories in Bangladesh that are in dire state.
 
The loan will be issued by the Japan International Cooperation Agency (JICA) under its small and medium loan programme to help Bangladesh to ensure safer working environment in the RMG manufacturing sector, said Sukamal Sinha Choudhury, general manager of SME and Special Programmes Department, Bangladesh Bank, the state news agency reported.
 
The decision to grant a soft loan to Bangladesh was taken during a recent meeting between the representatives of JICA and Bangladesh Bank held earlier this week.
 
Mr. Choudhury informed that an individual owner of RMG manufacturing unit in Bangladesh will be assigned a maximum of Tk 1 million (US$ 10,000) for support.
 
The monetary fund will be allocated to the Bangladesh RMG manufacturing units based on the reports generated by the JICA representatives after inspecting the units.
 
The Japanese bank plans to support 250 RMG manufacturing units in Bangladesh and has provisioned 10 years time for repayment with an additional grace period of two years.
 

Fibre2fashion News Desk - India


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