Bangladesh Bank backs rawhide trade ahead of Eid
Bangladesh Bank has instructed all scheduled banks to ensure an adequate flow of working capital loans to rawhide traders ahead of Eid al-Adha 2026.
The central bank said the leather sector remains an important contributor to Bangladesh’s economy through employment, export earnings and value addition. It added that around half of the raw materials used by the industry each year come from the hides of sacrificial animals collected during Eid al-Adha.
According to the circular issued on May 11, sufficient financing will help traders procure, preserve and market rawhides efficiently, reducing wastage of what it described as a national resource.
Banks have been instructed to sanction and disburse working capital loans to eligible traders in line with existing regulations and to ensure funds reach traders involved in rawhide collection at grassroots level.
Bangladesh Bank also said banks will not be required to realise compromised amounts on previously rescheduled loans until June 30, 2026, when extending fresh credit linked to Eid al-Adha rawhide purchases.
