Bangladesh’s foreign exchange reserves fell to $20 billion yesterday from $21.67 billion after the country paid $1.67 billion in regional import bills through the Asian Clearing Union (ACU).
Remittance inflow has continued to rise for the past few months, providing a breather for a country facing multiple challenges, including external payment pressures amid dwindling foreign exchange reserves.
Three major indicators of the economy -- imports, remittances and foreign exchange reserves -- are likely to increase in the first quarter of the current fiscal year, a positive development for the external accounts, according to the Metropolitan Chamber of Commerce and Industry, Dhaka (MCCI).
$1.42 billion of import bills for May and June were paid through Asian Clearing Union (ACU)
$1.63 billion of ACU payment was settled today
Reserves stood at $20.68 billion on Dec 20
IMF will give $689 million, ADB $400 million and other sources $220 million
Bangladesh Bank is hunting for dollars to rebuild its depleting foreign exchange reserves ahead of the January 7 national election.
Like in the outgoing financial year, the common people in Bangladesh will continue to suffer from higher consumer prices in 2023-24 as the factors behind the elevated level of inflation are unlikely to change dramatically.
Bangladesh Bank yesterday granted Sri Lanka’s request to be given six more months to repay a $200 million loan due to the prolonging of its economic crisis.
The use of foreign aid for development projects in Bangladesh jumped 49 per cent year-on-year in July, providing some relief to the government amid the ongoing pressure on the country’s foreign exchange reserves.
In recent months, the Bangladeshi taka has plummeted to new depths against the US dollar amid a worsening foreign exchange reserve crisis.
Bangladesh’s economy is experiencing stress because of the pressure on the foreign exchange reserves, but the situation is not as alarming as many think, said top brass in the financial sector yesterday.
Prime Minister Sheikh Hasina has ordered the suspension of Tk 236 crore 5G project of Teletalk to keep the country’s foreign exchange reserves stable.
The government high-ups and the top commercial bankers today urged expatriate Bangladeshis to send their money through the legal channel instead of using hundi – an illegal cross-border money transfer network.
China is the world's largest holder of foreign exchange reserves. It has over two and half times more foreign reserves than the second largest reserve holder, Japan. The Asian giant has US$3.483 trillion of foreign exchange reserves, despite recent fall in foreign reserves.
It is often said that numbers do not lie, but when it comes to the Bangladesh economy, the saying appears to be on shaky grounds.
