BB targets to bring down variation between exchange rates, cap on credit card loans withdrawn

Bangladesh Bank has decided to take required measures to gradually establish a market-based, flexible and unified exchange rate regime within a 2% variation by the end of the current fiscal year, according to the monetary policy stance announced on Sunday.

The current variation between different exchange rates stands at 7% (Tk 100 to Tk 107).

The central bank hopes upon implementation of this policy, speculation and volatility in the foreign exchange market can be expected to subside.

BB has also withdrawn the 20% interest rate cap from credit card loans.