Commerce Minister Khandaker Abdul Muqtadir has said double‑digit interest rates will be reduced to make them investment‑friendly.
He also said, “Industries like textiles cannot survive with loans at double‑digit interest rates. We are aware of this. We will bring the rates down.”
“Interest must be set at a level that supports new investment and the growth of ongoing businesses. This is a priority condition,” he added.
He came up with the comments Wednesday afternoon at the opening of four‑day Bangladesh International Textile, Knitting and Garment Industry Exhibition (BTKG Expo 2026) at the International Convention City Bashundhara (ICCB) in Dhaka.
The minister said, “The garment sector is the main driver of the economy. You have invested, and through that investment jobs have been created. At present, industries are suffering mainly due to energy shortages and double‑digit interest rates.”
With a cost of funds at 13–14 percent, labour‑intensive, low‑margin businesses cannot survive, he said adding “Such interest rates may be manageable for aviation or high‑tech industries producing advanced products, but not for primary industries like textiles. We are fully aware of this.”
On energy, he said, “The mismanagement we inherited was not created by us but passed down. Bangladesh needs 4,300 mmcfd of gas to meet demand.”
He informed that domestic sources provide 1,700–2,300, and LNG imports add only 900, totaling 2,600. That leaves a deficit of 1,400–1,700 and LNG supply cannot be increased overnight.
The government is prepared to import LNG, but expansion is limited by infrastructure. We have two FSRUs with a combined capacity of 1,100, which at 90 percent efficiency yields about 935–950, he said.
“We are working to increase supply and will tender for more FSRUs so that gas‑based industries can expand in the future,” he said.
On easing business processes, the minister said, “Today, if you apply for a new business, it can take months or years to secure 25–26 licenses and clearances. In future, we will introduce a system where provisional clearance or license is issued immediately upon application.”
He added, “The permanent clearance process can take six months or a year, but that will not matter because you can start operations right away.”
Bond licenses are currently renewed every three years. The NBR is taking initiatives to simplify this process to make it more business‑friendly very soon, he further said.
Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA) and Inforchain Digital Technology Ltd jointly organised the event.
The exhibition showcasing machinery and technology for the garment, knitwear, and textile sectors, will run until 2 May.
The inaugural session was chaired by BKMEA President Mohammad Hatem, with a welcome address from exhibition convener Fazle Shamim Ehsan. Inforchain Digital Technology Ltd Executive Director Spencer Lin also spoke, while BKMEA Vice President Mohammad Rashed delivered the closing remarks.
