In view of the current fragile situation of the country’s readymade garment (RMG) industry, a delegation of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) held an urgent meeting on 03 January 2026 (Tuesday) with the Finance Secretary of the Finance Division under the Ministry of Finance, Md. Khairuzzaman Majumder.

The BGMEA delegation was led by Vice President Md. Shehab Udduza Chowdhury and included Vice President Md. Rezwan Selim, Vice President (Finance) Mijanur Rahman, and Director Faisal Samad.

During the meeting, BGMEA leaders highlighted the ongoing challenges facing the garment sector and urged the government to provide immediate policy support and emergency financial assistance to ensure the continuity of exports.

The BGMEA delegation stated that due to global economic volatility and various domestic adversities, the industry is currently going through a critical phase. As a result of these global and internal challenges, garment export growth declined by 2.43% during the first seven months of the current fiscal year. Moreover, during October–December 2025, garment export growth dropped by an average of 9.43% compared to the same period of the previous year.

Over the past year, nearly 400 garment factories have shut down due to multiple factors, particularly rising production costs, declining product prices, and reduced order volumes. Many more factories are now at risk of closure.

Drawing the attention of the Finance Secretary, BGMEA leaders noted that due to the upcoming national election, government holidays, and the holy Eid-ul-Fitr, the number of working days in February and March will be significantly reduced. Even if factories remain operational for only 35 days out of 60, they will be required to pay nearly double wages in March, combining regular salaries, bonuses, and advance payments. This situation will place severe pressure on factories, especially small and medium enterprises (SMEs).

BGMEA leaders cautioned that without timely banking support, SMEs will be unable to pay workers’ wages and festival allowances on schedule or maintain production continuity, potentially leading to unrest in the industry, which would be detrimental to the overall economy.

To address the situation, BGMEA leaders strongly urged the government to take the following measures:

1. Ensure the prompt settlement and disbursement of pending cash incentive applications currently under process with lien banks and Bangladesh Bank, which would ease factories’ cash flow management.

2. Provide emergency support, including soft loans or low-interest loans with easy terms equivalent to six months’ wages, to ensure timely payment of workers’ wages, allowances, and bonuses in consideration of the post-election and upcoming Eid period.

BGMEA leaders emphasized the need for swift and effective government intervention to sustain this key driver of the national economy.

The Finance Secretary listened attentively to the proposals presented by the BGMEA delegation and provided a positive assurance that necessary measures would be taken to address the emerging situation.