Covid-19: BB extends policy supports for RMG, textile sector until March

Bangladesh Bank has extended the tenure of its policy support for the readymade garments (RMG) and textile businesses for their export and import trade, which it offered earlier to help the sectors recover from the Covid-19 fallout.

The central bank issued a circular in this regard yesterday and said that the business people could enjoy the support till March 31, 2021.

The policy support was supposed to end on September 30 this year.

The circular said that the bankers were allowed to extend the period for realization of the export proceeds by up to 90 days in addition to the stipulated four months’ time frame from the date of shipment.

In March, the BB allowed the banks to extend the period of realization of the export proceeds by up to 60 days in addition to the stipulated four months’ time frame from the date of shipment.

Other facilities, which were granted in March this year, would remain unchanged, the BB circular said.

The BB circular of March also extended the tenure of the Export Development Fund loans, which would now be six months from the existing tenure of three months.

Apart from the policy support, the government has launched a number of stimulus packages for revival of businesses in these sectors.