DHAKA, Sept 7, 2025 (BSS) - The Bangladesh Garment Manufacturers and Exporters Association (BGMEA) held a discussion meeting today on banking related issues at the BGMEA Complex in the capital’s Uttara area with participation from more than 70 member factories.

BGMEA President Mahmud Hasan Khan presided over the meeting.

BGMEA Vice President Md. Shihab Uddoja Chowdhury, Director Faisal Samad, Chairman of the Standing Committee on Exit Policy Asif Ibrahim, and Chairman of the Standing Committee on One-Stop Cell Mozammel Haque Bhuiyan were present, among others, said a press release.

The key agenda points discussed in the meeting included:

•    Default Loan Policy:
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Members proposed extending the loan repayment tenure under Bangladesh Bank’s relevant circular from the existing 3 years to 10 years, stating that repayment within such a short time is not feasible under the current economic situation. The issue of reducing down payment requirements was also raised.

•    Forced Loans and Litigation:
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Members highlighted that many factories have been subjected to forced loans due to irregular practices, which led to complications such as cheque dishonor and financial litigation. They urged the BGMEA Board to take an active role in resolving these issues.

•    Tolerant Exit Policy:
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Members emphasized the need for a pragmatic exit policy that would allow distressed entrepreneurs to leave business with dignity.

•    Policy Support:
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It was suggested that policy support from Bangladesh Bank for entrepreneurs affected by the ongoing economic crisis should not remain confined to large exporters only. Rather, small and medium-sized factories should also have access to such facilities.

•    Sick Factories:
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Specific measures were urged to address the long-standing issues of 77 non-functional factories in the apparel sector.

The meeting noted that around 400 garment factories have currently suspended production due to banking complications. With policy support, these factories could resume operations, creating an additional 100,000 jobs.

BGMEA President Mahmud Hasan Khan stated that the BGMEA Board would soon hold discussions with the relevant authorities regarding all the issues raised in the meeting. He also urged the factories facing banking problems to submit their issues to BGMEA in writing at the earliest.