BGMEA chief Rubana ‘70 percent happy’ with new budget

BGMEA President Rubana Huq has said she is “70 percent happy” with the proposed national budget for the next fiscal year.

Finance Minister AHM Mustafa Kamal proposed an additional allocation of Tk 28.25 billion in incentives for the ready-made garment sector on Thursday.

Rubana, the president of Bangladesh Garment Manufacturers and Exporters Association or BGMEA, labelled the funds as“minimal”.

In the first year of the Awami League’s third straight term, the finance minister has presented a Tk 5.23 trillion budget.

Currently, four sectors related to readymade garment manufacturing receive 4 percent export incentives.

Kamal has proposed an export incentive of 1 percent in the next fiscal year for the rest of the sectors in garment manufacturing.

“It is undoubtedly a people-oriented budget. But from the view of our industry, I must say it is 70 percent satisfactory for us,” Rubana said.   

“Actually, the cash incentive is a very small figure for us. Currently, readymade garment factories are passing such a challenging situation that this incentive is really minimal for us,” she said.

She demanded at least 3 percent export incentives for the sector.

Rubana also expressed her frustration as the minister proposed “almost nothing” for the women entrepreneurs.

“VAT exemption on the rent of a business showroom run by women entrepreneurs has been proposed, but it is a very small initiative to me,” she said.