Bangladesh’s gross foreign exchange reserves have retreated below the $28 billion mark following a significant settlement of regional import bills. This contraction comes despite a period of aggressive dollar accumulation by the central bank, underscoring the ongoing pressure of external payment obligations on the nation’s sovereign liquidity.
The Impact of ACU Settlements
On Thursday, 8 January 2026, Arif Hossain Khan, the Executive Director and Spokesperson for Bangladesh Bank, confirmed that the country had cleared $1.53 billion in liabilities to the Asian Clearing Union (ACU). Consequently, the gross reserves now stand at $27.85 billion, down from a brief peak of $29.19 billion recorded just forty-eight hours prior.
The ACU, a regional payment arrangement headquartered in Tehran, facilitates the clearing of multilateral transactions among nine member nations, including India, Pakistan, and Sri Lanka. Because these payments are settled bimonthly, the central bank often experiences a sharp, periodic “dip” in its headline reserve figures.
A Fortnight of Rapid Accumulation
Prior to this mandatory outflow, the central bank had achieved a notable recovery, bolstering reserves by nearly $1 billion in a mere fifteen days. On 22 December 2025, the reserves—calculated under the International Monetary Fund’s BPM6 manual—stood at $28.04 billion.
This growth was primarily facilitated by a surge in remittance inflows, which allowed the central bank to intervene in the market. By purchasing US dollars from commercial banks through auctions, the Bangladesh Bank sought to stabilise the exchange rate and prevent the Taka from appreciating too rapidly against the dollar.
Table: Foreign Exchange Reserve Fluctuations (Dec 2025 – Jan 2026)
| Date | Reserve Level (BPM6) | Key Driver / Event |
| 22 Dec 2025 | $28.04 billion | Baseline measurement |
| 06 Jan 2026 | $29.19 billion | Nearly $1bn growth in 15 days |
| 08 Jan 2026 | $27.85 billion | Post-$1.53bn ACU settlement |
| FY 2025–26 (H1) | +$3.54 billion | Total USD purchased (July–Jan) |
Strategic Outlook for the Fiscal Year
Despite the recent dip, senior officials at the central bank remain cautiously optimistic. Data indicates that the supply of dollars in the banking system is improving, largely due to resilient expatriate income. In the first week of January 2026 alone, the central bank purchased $411 million to shore up its buffer.
These strategic interventions are critical for Bangladesh as it seeks to meet the structural benchmarks set by the IMF and maintain sufficient cover for future import requirements. While the ACU settlement has caused a temporary contraction, the underlying trend suggests a steady, if gradual, strengthening of the national balance sheet.