BB directs banks to deduct 0.03 % of RMG export proceeds for central labour fund

The central bank has asked all scheduled banks to deduct 0.03% of export value against export proceeds of all export-oriented garment industries and transfer the deducted money to the central fund created for the ready-made garment (RMG) sector, under the labour welfare programme of the government.

Bangladesh Bank issued a circular in this regard on Monday.

The directive was given in accordance with the labour rule under the labour welfare programme of the government.

This circular was followed by a letter given to the central bank by the labour ministry that some banks are not deducting export proceeds as per the rule.

The Central Fund for the welfare of RMG industry workers came into being in 2016.

Earlier in September 2015, the government created labour rules which stated that export-oriented factories must contribute 0.03% of their export proceeds to the fund.