The government yesterday approved a new policy for the leather sector incorporating 17 types of incentives to boost the sector’s export earnings to $5 billion by 2024. The cabinet gave the go-ahead to the “Leather and Leather Goods Development Policy 2019” at a meeting with Prime Minister Sheikh Hasina in the chair. New incentives have been included to attract more investment from home and abroad for the second highest export earning sector, Cabinet Secretary Mohammad Shafiul Alam told journalists after the meeting. Investors in the leather sector who will adopt green technology in factories will be provided with low-cost loans, he said. Even cash incentive will also be given if they set up environment-friendly industries, Alam said. Two high powered committees will be formed for proper execution of the policy, the cabinet secretary said. The industries minister will head a 41-member coordination committee and the industries secretary will lead the other 20-member implementation committee. The cabinet also approved in principle a draft of “the Bangladesh House Building Finance Corporation Act, 2019”, under which additional penalties will be imposed on loan seekers giving false information. The proposed punishment for providing false statements is a five-year jail term or a Tk 500,000 fine or both, up from the existing two-year jail term or Tk 2,000 fine or both. According to the draft law, the authorised capital of the state-owned financier will be Tk 1,000 crore and paid-up capital Tk 500 crore. Both the existing authorised and paid-up capitals are Tk 110 crore. The cabinet also approved a draft pact to be signed between Bangladesh and the Czech Republic to avoid dual taxation and stop dodging of revenue. The cabinet also approved a proposal of Bangladesh’s accession to Patient Corporation Treaty. The cabinet secretary said as many as 152 countries, including India and Sri Lanka, have signed the treaty. But Bangladesh is yet to be included in the treaty. After its inclusion in the treaty, Bangladesh will get various facilities, including 75 percent waiver in registration fee for royalty patent.
