Greenback gains against taka despite selling of dollar by BB
Wednesday, 1 December 2010
Siddique Islam
The US dollar gained against the Bangladesh Taka (BDT) Tuesday despite intervention in the market through selling of the greenback to the commercial banks by the central bank.
"We've sold US$16 million at market rate to three commercial banks on the day to meet the growing demand for the US currency," a senior official of the Bangladesh Bank (BB) told the FE.
He also said the central bank may continue such intervention in line with the market demand.
The US dollar was quoted at Tk 70.3900-Tk 70.4200 in the inter-bank foreign exchange market Tuesday against Tk 70.3500 -Tk 70.3800 of the previous working day, market operators said.
On September 28 this year, the central bank started intervention in the foreign exchange market through selling the US dollar to the commercial banks directly.
As part of the intervention, the BB has so far sold $334 million to the commercial banks to meet the growing demand for the greenback.
"The demand for the US dollar picked up recently mainly due to higher import payment pressures particularly for essential items including petroleum products and capital machinery for rental power plants," a senior treasury official of a commercial bank said.
He also said a good number of LCs has been opened to import machinery for setting up rental power plants in different parts of the country.
The US dollar gained against the Bangladesh Taka (BDT) Tuesday despite intervention in the market through selling of the greenback to the commercial banks by the central bank.
"We've sold US$16 million at market rate to three commercial banks on the day to meet the growing demand for the US currency," a senior official of the Bangladesh Bank (BB) told the FE.
He also said the central bank may continue such intervention in line with the market demand.
The US dollar was quoted at Tk 70.3900-Tk 70.4200 in the inter-bank foreign exchange market Tuesday against Tk 70.3500 -Tk 70.3800 of the previous working day, market operators said.
On September 28 this year, the central bank started intervention in the foreign exchange market through selling the US dollar to the commercial banks directly.
As part of the intervention, the BB has so far sold $334 million to the commercial banks to meet the growing demand for the greenback.
"The demand for the US dollar picked up recently mainly due to higher import payment pressures particularly for essential items including petroleum products and capital machinery for rental power plants," a senior treasury official of a commercial bank said.
He also said a good number of LCs has been opened to import machinery for setting up rental power plants in different parts of the country.