Govt decides to revive 270 sick garment factories

20 Aug '08

1 min read

Some 270 garment factories which are currently closed due to moribund market situation may be brought back into operation following a Government decision to facilitate them in restarting their business.

Sources informed Fibre2fashion that during an inter-ministerial meeting held recently, Government of Bangladesh gave instructions to state owned banks to waive off debts of factory owners and re-schedule the repayment under a 10-year scheme. However, private banks have refused to comply and the Finance Ministry has therefore decided to issue another notice to them.

Mr Hossain Zillur Rahman, Commerce Adviser who also chaired the meeting and Mr Anwar-ul-Alam Chowdhury Parvez, BGMEA President asserted that the finance minister would take a steadfast step in ensuring that the private banks take the matter seriously.

The factories listed were chosen on consideration of the contribution made by them to the exports, economy and employment of the country.

Besides, the commerce ministry would also ask the law and finance ministries to speed up the disposal of cases lying with the bankruptcy and loan recovery courts. Even the National Board of Revenues (NBR) would be asked to waive longstanding unpaid taxes by these companies.

Fibre2fashion News Desk - India

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