Banks in Bangladesh have decided not to purchase expatriate earnings in dollars at rates exceeding 123 taka. This decision comes after the purchase price of the dollar rose to 126-127 Taka. Due to banks buying dollars at higher prices, importers are also being forced to purchase dollars at elevated rates, leading to an increase in the cost of imported goods. The price of the dollar has increased by another three Taka, with the official exchange rate previously set at 120 Taka.
For the past two years, the dollar market in Bangladesh has been volatile. However, after the interim government took charge, the situation stabilized over the past four months. Last week, though, the dollar market began to experience instability once again.
According to bankers, at the start of December, several government and private sector banks began purchasing expatriate income dollars at higher prices to settle old import debts. As a result, other banks were forced to buy dollars at the higher rates. However, after foreign exchange houses suddenly raised their prices, 13 banks were identified for purchasing dollars at inflated rates. Following this, these banks reduced the remittance exchange rate.
Despite the rising price of the dollar, expatriate income in the first 21 days of December has exceeded 200 million dollars. This marks the highest remittance inflow in such a short period since the interim government assumed power. Since the formation of the new government in August, expatriate earnings have consistently exceeded 200 million dollars each month. However, in just three weeks this December, remittance inflows reached 200 million, 72 thousand, 30 dollars.
Source: Kaler Kantho
