Bangladesh has announced an economic stimulus package worth over 8.5 billion dollars to cushion the shock of the global coronavirus pandemic.
“I hope our economy will rebound,” Prime Minister Sheikh Hasina said on Sunday, adding that the country could reach close to its desired economic growth, “if the packages are implemented quickly.”
Hasina rolled out the plan in a nationwide televised speech and said special measures were needed to support industries as most of them were likely to face a slump during the lockdown.
“Almost 3.54 billion dollars will be available for industries and service sectors, while another 2.53 billion dollars is being set aside for small and medium-sized businesses at a concessional interest rate.
“More than half of the interest will be borne by the government to save industries and guard employment,’’ Hasina said.
The businesses would also be allowed lower interest rates for imported raw materials, as Hasina ordered a rise in the central bank’s fund to five billion dollars from the current 3.5 billion dollars.
Earlier, the prime minister allocated a fund worth about 590 million dollars for Bangladesh’s export-oriented garment industries.
Owners will be allowed an interest free loan from the scheme to keep their factories running.
In addition to the stimulus, Hasina said, public expenditure would increase to feed and meet the basic needs of a huge number of daily wage labourers and people living in extreme poverty.
Bangladesh, which has so far reported 70 cases of coronavirus infection, including eight deaths, had been on lockdown since March 26.
