BB dollar purchases in auction cross $3b so far this fiscal

Business Report:

Bangladesh Bank’s intervention in the foreign exchange market has continued to strengthen the country’s dollar reserves, with total greenback purchases crossing $3 billion in the current fiscal year.

Officials confirmed that the central bank bought $115 million from three commercial banks at an exchange rate of Tk 122.30 per dollar. The transaction is scheduled to be settled on Monday at the same rate.

With this latest intervention, Bangladesh Bank’s total dollar purchases in December have reached $920.50 million. Overall, the central bank has acquired $3.05 billion so far in the 2025-26 fiscal year, according to official data.

Earlier the banking regulator on July 13 bought $171 million from 18 commercial banks through an auction – the first such move under the floating rate system.

Such purchases were intended to bolster the country’s forex reserves, which came under pressure due mainly to rising import payments and global economic headwinds, according to sources.

Usually, the central bank go for intervention to prevent the downfall in the value of Bangladeshi Taka in exchange of US dollar, and also bolster the foreign currency reserve.

Industry analysts said the sustained dollar purchases signal an improvement in liquidity in the interbank market. The development comes amid steady export receipts, increased remittance inflows, and lower import demand due to sluggish domestic consumption. The central bank has been adjusting its strategy to stabilize the foreign exchange market and rebuild reserves, which had been under pressure in recent years. Officials believe that if export and remittance trends continue to remain stable, the banking sector’s foreign-currency situation may gradually normalize.