Bangladesh Bank Strengthens Forex Reserves with $202m Purchase

In a decisive move to support the nation’s exporters, remitters, and overall economic stability, the Bangladesh Bank (BB) has acquired an additional US$202 million from 13 commercial banks via the interbank spot market. The transaction, executed on Tuesday through the Multiple Price Auction method, was concluded at a cut-off rate of Tk 122.29 per US dollar, officials confirmed.

This latest purchase forms part of the central bank’s ongoing strategy to stabilise the dollar-taka exchange rate, a critical measure to ensure seamless export operations and sustained remittance inflows. Since mid-July, BB has directly procured more than US$2.50 billion from domestic banks, signalling a proactive and sustained approach to exchange rate management under the country’s prevailing free-floating system.

A senior official of Bangladesh Bank told The Financial Express:
“Our targeted interventions in the foreign exchange market are designed to stabilise the taka while simultaneously strengthening the nation’s foreign currency reserves. These measures provide tangible benefits to exporters, remitters, and the broader economy alike.”

Earlier, on 4 December, the central bank purchased US$132 million from five banks using the same auction mechanism. Taken together, BB’s cumulative purchases since 13 July amount to US$2.51 billion, underscoring a clear and consistent policy of market engagement to safeguard currency stability.

The effects of this strategy are already evident. According to the BB’s conventional accounting, gross foreign exchange reserves rose to US$31.20 billion on 1 December, up from US$31.12 billion on 27 November. Applying the International Monetary Fund’s Balance of Payments Manual (BMP6, 6th edition) methodology, reserves increased from US$26.40 billion to US$26.51 billion, highlighting the robustness of Bangladesh’s forex position.

Economists assert that BB’s continued involvement in the foreign exchange market is crucial not only for exchange rate stability but also for fostering investor confidence and sustaining export and remittance growth. The central bank’s measured and timely interventions demonstrate a commitment to shielding the domestic economy from external shocks while ensuring a strong, reliable reserve buffer.

Bangladesh Bank Forex Purchases (July–December 2025)