Country’s apparel exporters have urged the government to immediately release Tk 8.0 billion as the first instalment of cash incentives for the current fiscal year to pay wages and festival allowances to their workers, officials said. Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA) has recently requested the finance ministry to release the funds by September 01, 2016. The association has sought cash incentives with a view to paying wages and festival allowances to the workers within the stipulated time fixed by the government. Earlier, the government has issued a directive to garment owners to pay wages and other allowances by September 05. Industry insiders said a large amount of funds is required during the two Eid festivals. Usually, exporters of the sector face difficulties in paying wages and bonuses on the occasion of Eid-ul-Fitr and Eid-ul-Azha. For this reason, owners of the industries need extra funds to pay wages and allowances to their workers before two Eid festivals, they added. The first instalment of cash incentives for the current fiscal year is supposed to be released in October next. It would be better for apparel makers to pay wages and other allowances before Eid-ul-Azha if the government releases the funds shortly, according to the letter. According to the Bangladesh Bank, allocation as cash incentive/subsidy has been fixed at Tk 45 billion for this fiscal year. When contacted, a finance ministry official said, “Now we are working on the issue.”
