Bangladesh Bank Purchases $187 Million to Stabilize Dollar Rate

Bangladesh Bank has bought an additional $187.5 million from commercial banks on January 4, 2026, at a rate of Tk122.30 per dollar. This purchase forms part of the central bank's ongoing efforts to stabilize the foreign exchange market and maintain a balanced exchange rate.

With this latest purchase, the total amount of dollars bought by Bangladesh Bank in the current fiscal year has reached $3.32 billion. The intervention strategy, which began in July 2025 through auction-based dollar purchases, aims to keep the market-based exchange rate regime balanced by managing fluctuations in dollar supply and demand.

Market insiders suggest that the current intervention is being driven by several factors, including a reduction in government foreign debt obligations, slowed business and investment activities, and a decline in capital machinery imports. These factors have eased pressure on foreign currency demand, contributing to the recent stability in the dollar market.

Meanwhile, the private sector credit growth has seen a notable slowdown, with the rate dropping to a record low of 6.58% by November 2025, reflecting reduced import demand. On the positive side, remittance inflows continue to grow strongly, with Bangladesh recording its highest-ever monthly remittance inflow of $3.29 billion in March 2025, further strengthening foreign exchange supply.