March 29, 2024, 7:43 am


Staff Correspondent

Published:
2022-01-23 09:54:51 BdST

More defaulters if moratorium not extended: FBCCI


FBCCI President Md Jashim Uddin on Saturday said the number of loan defaulters will go up by 50 percent if the timeframe of instalment of the incentives is not extended.

"Bangladesh Bank authorities recently have said they will not extend the time. I think the number of loan defaulters will increase by 40-50 percent if the time is not extended amid the Covid pandemic," he said during a view exchange meeting of "Council of Chamber Presidents-2022" at FBCCI auditorium in the capital.

Jashim Uddin said the government should do research on why bad loans go up.

He said there are more than 30 percent of bad loans in the country and no small businesses are loan defaulters, rather big businesses are.

The FBCCI chief said big companies have been more benefited in VAT and tax law that impacts on small businesses.

During the discussion, the businesses urged the government to make a business-friendly environment in the country while forming the industrial policy, making a national database and creating a hassle-free VAT and tax collecting system.

They also urged banks to extend the tenure of the instalments of incentives packages up to December 2022 to revive them amid the Covid fallout.

At the meeting, representatives of district chambers called on the Federation of Bangladesh Chambers of Commerce and Industry (FBCCI) to form a special cell to deal with the National Board of revenue (NBR) properly so that businesses are not harassed by VAT and tax officials.

Bangladesh Chamber of Industries President Anwar-ul Alam Chowdhury (Parvez) said businesses will be frail if the government further increases the prices of gas and electricity.

Dhaka Chamber of Commerce and Industry (DCCI) President Rizwan Rahman said the government should lay emphasis on an automation system to ensure hassle free VAT and tax collection.

"We need a national database to revive the small and medium businesses," he added.

Patuakhali Women Chamber of Commerce and Industry President Ismat Jerin Khan said the government is laying emphasis on rural economy, so the time of instalment of the incentives should be extended up to December 2022.

"We are being harassed by VAT and tax officials in various ways. The FBCCI should form a special cell to deal with the NBR," she added.

FBCCI Senior Vice-President Mostofa Azad Chowdhury Babu moderated the function.

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