The Bangladesh Bank has significantly enhanced the nation’s foreign exchange reserves by purchasing over $4 billion from commercial banks through auctions during the current fiscal year. This strategic accumulation reflects a robust recovery in the country’s external sector, primarily driven by a surge in inward remittances.
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Record Purchases in February
On Monday, 2 February 2026, Arif Hossain Khan, the Executive Director and spokesperson for the central bank, confirmed that the total volume of US dollars purchased in the current fiscal cycle has reached $4.15 billion. In a single day of trading, the central bank acquired $218 million from 16 commercial banks at a rate of 122.30 BDT per dollar.
This liquidity injection into the central bank’s coffers is a direct result of the banking sector being “awash” with foreign currency. As local banks find themselves with a surplus of greenbacks due to the heightened inflow of money from expatriates, they have turned to the central bank as a primary buyer to manage their internal holdings.
A Watershed Moment for Remittances
The underlying driver of this economic stability is the extraordinary performance of the remittance sector. In January 2026, Bangladeshi expatriates sent home a staggering $3.17 billion. This figure represents the third-highest monthly total in the nation’s history, marking a definitive shift in the country’s fiscal health.
The growth is even more impressive when compared to the previous year. The January 2026 inflow reflects a 45.41% increase over the $2.18 billion received in January 2025. This influx has not only stabilised the exchange rate but has also provided the central bank with the necessary ammunition to rebuild the national reserve, which had faced significant pressures in previous years.
Comparative Analysis of Remittance and Forex Activity
| Performance Metric | January 2025 | January 2026 | Variance (%) |
| Monthly Remittance Inflow | $2.18 Billion | $3.17 Billion | +45.41% |
| Total Fiscal Year Dollar Purchases | — | $4.15 Billion | N/A |
| Central Bank Buy Rate (per USD) | Variable | 122.30 BDT | N/A |
| Number of Participating Banks | — | 16 Banks | N/A |
Economic Implications
Economists suggest that the central bank’s decision to buy dollars at a fixed rate of 122.30 BDT is a calculated move to maintain market equilibrium. By absorbing the excess supply, the Bangladesh Bank prevents the Taka from appreciating too rapidly, which could otherwise hurt export competitiveness. Furthermore, the record-breaking remittance figures suggest that trust in formal banking channels has been restored, likely due to competitive exchange rates and government incentives.
As the country moves further into 2026, the central bank’s spokesperson expressed optimism that this trend of surplus liquidity would allow for a more resilient economic cushion against global inflationary pressures.