Country’s business people require extension of moratorium facility on the repayment of loan installments till the upcoming fiscal year as they are still struggling with the Covid-19 fallout.
In the wake of the coronavirus pandemic, the moratorium facility provided under the stimulus package was meant to provide some temporary relief to the business community in order to keep the country’s economic activities alive.
That loan moratorium facility had been extended twice to December 31, 2020. The facility has expired on December 31, 2020.
And the Bangladesh Bank announced that the moratorium facility would not be extended further as it thinks there is no logic for extending it.
The central bank will need to keep it in mind that there is still a strong need for extension of the moratorium period as the economy is at the early stages of recovery.
The extension of moratorium facility should only
be given to those who are truly
affected by Covid-19 impact
On the other hand, the business community is still in the dark as to when the full recovery will be as many factors are involved in economic recovery.
So, we do believe that observing the latest state of the global and domestic economy, the central bank will extend the moratorium facility and increase the time frame to repay the loans taken from different packages also.
As businessmen’s huge amounts of money got stuck due to cancellation of the orders and delay in payment of dues, some borrowers are in serious trouble.
The government should continue to make its support more inclusive, providing facilities to all categories of business like large, medium, and small and cottage and micro. Also, the extension of moratorium facility should only be given to those who are truly affected by Covid-19 impact.