Bangladesh

Political and labor leaders in Bangladesh are pushing government leaders and owners of the Swan Garments factory to reopen their facility and pay owed wages and Eid festival allowances to their workers who have been on strike for over 2 weeks. Workers began their demonstration on July 12 demanding immediate payment of three months’ worth of wages owed to them since the factory’s sudden closure in April. Authorities in Dhaka say that the owner, a Hong Kong national, likely died shortly after the factory’s closure. (New Age BD)
 
The International Finance Corporation (IFC) has teamed up with the French Development Agency to provide a US$113 million fund to make loans to financially-struggling factories who have demonstrated commitment to meeting safety and compliance standards. The loans will mostly be targeted at small and medium facilities, which make up about 40% of the country’s total factories, and come with a fixed interest rate of 4%. Application requirements for the loans are also still being finalized and will be announced in the coming weeks. (Financial Express)
 
The Federation of Bangladesh Chambers of Commerce and Industry (FBCCI) is urging the government to ensure that local industries have an adequate gas and power supply in order to sustain growth. FBCCI representatives say that many factories have been forced to relocate outside of Dhaka city in order to meet more stringent compliance regulations, yet the energy infrastructure in these rural areas is not as developed as that of the city. While many factories in the outskirts have filled this gap by purchasing their own generators, industry leaders admit that this is a costly solution and that ultimately, the government must build adequate delivery lines. (Fibre2Fashion)