Bangladesh Bank purchased $20 million from a commercial bank on Tuesday at a rate of Tk 122.75 per dollar, continuing a two-day buying streak aimed at boosting national reserves. This follows a $45 million purchase on Monday at the same rate.
Arief Hossain Khan, Executive Director and spokesperson for the central bank, confirmed that total dollar purchases for May have reached $145 million. The central bank has maintained a consistent "cut-off" rate of Tk 122.75 throughout the month. Data shows the regulator has absorbed a total of $5.82 billion from the market during the current fiscal year.
The surge in central bank activity is driven by a significant spike in inward remittances. In the first 11 days of May, expatriates sent $1.44 billion a 56.4% increase compared to the $922 million received during the same period in 2025.
With import demand remaining low, many commercial banks have exceeded their foreign exchange retention limits. By absorbing this excess liquidity, Bangladesh Bank is providing local currency to the market while stabilizing the exchange rate.
This strategy is also vital for rebuilding foreign exchange reserves, which saw a dip after a $1.51 billion payment to the Asian Clearing Union (ACU) on May 7. Following Tuesday's transactions, reserves stand at $29.56 billion under the BPM6 calculation and $34.22 billion in gross terms.
