In an effort to remove all sorts of confusion being created by some of the banks, Bangladesh Bank (BB) issued another circular on Thursday on the incentive for readymade garment (RMG) factories, reports UNB.
The circular confirmed that all the export-oriented RMG factories located outside export processing zones (EPZs) would be the recipients of 0.25 per cent cash incentives calculated on FOB (freight-on-board) price, in line with the central bank's announcement made on June 8.
As per Thursday's circular, all RMG exporters who are now receiving customs bond and duty drawback benefits will be eligible for this incentive. To receive it, the exporters will have to comply with the conditions of the earlier circular issued by the Foreign Exchange Policy Department (FEPD) of the BB.
"We have issued the new circular to remove all the confusion over the cash incentives for RMG exporters which they have been receiving since the issuance of the earlier circular on June 8 this year," FEPD Deputy General Manager Zakir Hossain Chowdhury told the news agency.
He said some banks were fomenting confusion over whether all the export-oriented RMG factories located outside EPZs are eligible or not for the incentive.
"Through this circular, we are sending a message to all the banks not to create any more confusion in the matter of the cash incentives," he added.
The government announced the incentive in June this year for the country's RMG exporters, responding to their demands against the backdrop of their workers' salary hike in line with a revised wage board for the sector.
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