They said bank audit procedures have stalled numerous applications. Around Tk 57 billion in incentives for the textile and apparel sector remain unsettled in fiscal 2025-26, creating acute liquidity pressure and affecting exports.

Bangladesh trade body BGMEA representatives recently met Finance Minister Amir Khasru Mahmud Chowdhury and urged him to release pending cash incentives without waiting for quarterly release schedules and simplify the disbursement process.
They said bank audit procedures have stalled numerous applications.
They also raised concerns over loan rescheduling and working capital.

The authorities were requested to disburse incentives upon application submission instead of waiting for quarterly release schedules, according to a release from the trade body.

BGMEA vice president Mohammad Shihab Uddoja Chowdhury raised concerns over loan rescheduling and working capital. He said banks often reschedule loans to maintain non-performing loan ratios, but fail to provide the working capital factories need to resume operations.

He proposed that banks pair rescheduling with working capital support to create a win-win outcome, allowing factories to operate and repay loans. The finance minister agreed with the proposal.

BGMEA leaders also called for business facilitation and lower operational costs to help Bangladesh remain competitive in the global market. They sought policy support to remove obstacles in customs, ports and other administrative layers and to ensure an investment-friendly environment.

Fibre2Fashion News Desk (DS)

The downward movement remained closely tied to crude oil dynamics, which continue to shape industrial cost structures across energy-intensive sectors. Average North Sea Brent crude prices stood at nearly €55 per barrel in January 2026, representing a drop of more than 27 per cent from a year earlier. In comparison, December prices averaged €52.5 per barrel, marking an annual decline of almost 25 per cent, CBS said in a press release.

Dutch manufacturing output prices fell 1.9 per cent YoY in January 2026, extending December’s decline as lower crude oil costs weighed on industrial pricing.
Brent prices dropped over 27 per cent annually, pulling petroleum derivative prices down 15.8 per cent.
However, producer prices rose 0.9 per cent MoM, supported by export and domestic market gains.

Petroleum-derived products registered a sharper contraction in line with weaker crude benchmarks. Prices for petroleum derivatives fell 15.8 per cent YoY in January, following a 12 per cent decrease in December, underscoring persistent softness in refined energy product pricing.

Despite the annual decline, producer prices showed sequential improvement at the start of the year. Overall manufacturing output prices increased 0.9 per cent in January from the previous month, indicating short-term pricing stabilisation across industrial segments.

The monthly uptick was led by export markets, where prices rose 1.2 per cent, while domestic market prices increased 0.6 per cent. The divergence between YoY declines and MoM gains highlights the continued influence of last year’s elevated energy base alongside emerging signs of near-term price recovery.

Fibre2Fashion News Desk (SG)