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Monday, July 11, 2011

Another stimulus package for RMG?

So, the central bank announced to reduce the interest rate for 270 sick garment companies to 8.0% from as high as 15.0%, of which  5.0% will be paid by owners and the rest will be subsidised by the government. Of the 270 companies, 88 owe money to private commercial banks and 182 to the public commercial banks. The central bank also agreed to increase the Export Development Fund (EDF) from the existing $400 million and will reduce the export proceed time from an existing 120 days, so that the money comes into the country fast.

So, is this another stimulus package for RMG sector?

Here is the news link. 

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