Dollar rate cut again, by Tk0.25, within a week

The buying and selling rates of the US dollar were decreased by Tk0.25 yesterday – within a week of the last cut in dollar rates. The new rates will come into effect from 3 December.

The Association of Bankers Bangladesh (ABB) and the Bangladesh Foreign Exchange Dealers Association  (Bafeda) made the decision through the mediation of the Bangladesh Bank on Wednesday.

In a circular issued yesterday, Bafeda set the dollar rate for exports and remittances at Tk109.75. The rate for import settlement was set at Tk110.25.

Earlier, on 22 November, the exchange rate was reduced by Tk0.5 to Tk110 per dollar on imports and Tk110 on exports and remittances.

An official of the central bank said that many people are holding onto dollars in the hope that the rate of the dollar against the taka will increase further. Because of this, there has been a crisis in the market.

He said the move comes to bring the dollars sent by the expatriates and foreign exchange houses to the country through legal channels. 

Talking to the bankers, it is known that even after the ABB and Bafeda announced reduction in the rate, banks are still buying remittance dollars at the rate of Tk120-122.

Apart from this, dollars are selling at Tk121-122 in the open market.

On 31 October, the ABB and the Bafeda increased the official buying and selling rates for remittance and export proceeds to Tk110.50 and Tk111, respectively. Previously, banks could buy a dollar at Tk110 and sell it at Tk110.50.