Bangladesh Bank has announced a large stimulus package of Rs 60 thousand crore to reopen the country’s closed and partially-moving industries. The initiative has been taken to increase production, create jobs, expand exports and revive economic activities.
Governor Rahman Mustafizur made the announcement at a press briefing at the head office of Bangladesh Bank in the capital’s Motijheel on Saturday.
He said that among the announced packages, Rs 41 thousand crore will be refinancing and partially operational factories will be given to factories. Besides, Bangladesh Bank will provide another Rs 19 thousand crore from its own funds.
According to Bangladesh Bank, the interest rate on loans for large industries has been fixed at seven percent. The interest rate for small businesses may be relatively high.
These incentives are not limited to large industries. The cottage, small, medium industries and agriculture sectors will also be brought under it.
The central bank said that if this initiative is implemented, it could create employment opportunities for about 25 lakh people. Besides, the increase in production, the expansion of the rural economy, the recovery of the agricultural sector and the foreign exchange earnings will have a positive impact.
Bangladesh Bank officials said priority will be given to the industries affected by the global economic turmoil, the war situation and the foreign exchange market crisis. There are plans to provide quick assistance to companies that have demand and guaranteed orders in the market.
The central bank has already collected data through various trade bodies and banks and identified more than one thousand closed and partially operational industrial units.
According to economists, this stimulus package could play an important role in restoring the industrial sector and bringing a positive momentum to the country’s overall economy if proper implementation is ensured.