‘Growth, investment-friendly’

Export-focused apparel business owners have hailed budget for FY 2013-14 ‘growth-oriented and investment-friendly’.

Finance Minister AMA Muhith on Thursday proposed a Tk 2.22 trillion budget in what is the last one of the Awami League-led government.

The Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA) and Bangladesh Textile Mills association (BTMA) welcomed the budget in statements.

BKMEA President AKM Selim Osman said, “The government’s positive attitude towards ensuring social security net and good governance reflects on the budget proposal. The government’s sincere attitude has also been manifested in the social and public infrastructure and industrial development sectors.”

Osman, however, said the targets of 7.2 percent GDP growth and 15 percent rise in export earnings in the next fiscal were ambitious.

But, he felt, the allocation of Tk 25.92 billion in export subsidies would bring a relief for the readymade garment sector to some extent.

The BKMEA chief hoped the allocation of Tk 113.51 billion for power and energy sector would help resolve power and gas supply problems in the knitwear industry.

He called for more business and industry-friendly strategies in a bid to spur growth in investment.

BTMA President Jahangir Alamin said the increase of the slabs for tax-free income of individuals by Tk 20,000 to Tk 220,000 to provide the general public with a relief will help encourage them to pay tax.

“I think that different incentive packages proposed in the budget to bolster the capital market will also encourage the stakeholders.”

The BTMA President further said the reduction in the import duty on capital machinery in industries to 2 percent from 3 percent would spur investment in heavy industries.