Greenback retains its gains
Sunday, 26 August 2007
Sarwar Zahan
US dollar retained its gains with a downward bias against Bangladesh taka (BDT) last week in a moderately active market, fund managers said.
The exchange rate of the greenback moved between Tk 68.54 and Tk 68.70 against the previous week's range between Tk 68.50 and Tk 68.80 in the interbank foreign exchange market, fund manager sources said.
The market witnessed a limited demand for dollar due to lower import payments. The inflow of remittance and export proceeds nourished the supply line ensuring adequate flow of dollar in the market, they said.
The greenback was also steady in public deals as well as in the local informal market. The cash dollar in public deals was exchanged at rates between Tk 67.49 and Tk 69.90 against the previous week's range between Tk 67.50 and Tk 69.90, funds managers said.
In the informal market, the greenback was traded at rates ranging between Tk 72.10 and Tk 72.40 in the local informal market against the previous week's range between Tk 72.10 and Tk 72.60. The brokers used to buy dollar mainly at rates between Tk 72.10 and Tk 72.20 and sold it between Tk 72.30 and 72.40, money dealers said.
The spot transactions in greenback during the week were almost stable in comparison to that of the previous week. The market experienced sufficient supply of the greenback that ensured the balance between the demand and the supply in the market, they added.
The dealer banks played reserved roles in making swap deals against customer requirements to fund their import payment obligations instantly. The lower use of swap deals was taken as an encouraging market behaviour, they added.
The central bank maintained regular monitoring and supervision activities to check unnecessary transactions in dollar by the dealer banks and ensure discipline in the foreign exchange market, sources said.
The central bank withdrew cash through auctions of reverse repurchase agreement (repo), treasury bills and Bangladesh Bank bills to maintain pressure on liquidity and discourage buying of dollar by keeping the call money rate at a reasonable level. The market, however, reflected its stable behaviour, they said.
The commercial banks offered high exchange rates to encourage Bangladeshi expatriates to send their money through the banking channel, fund managers said.
In the regional market, most of the currencies appeared steady against dollar. The exchange rate of Indian rupee against taka ranged between Tk 1.56 and Tk 1.71.
In the regional market, the exchange rate of dollar against Indian rupee moved between Rs 40.81 and Rs 41.13 and Pakistani rupee between Rs 60.40 and Rs 60.60.
Besides, the exchange rate of dollar against Malaysian ringgit varied between 3.4825 ringgit and 3.5180 ringgit, and that against the Thai currency between 32.55 baht and 34.50 baht.
In the international market, dollar was traded between 114.17 yen and 115.20 against the previous week's range between 114.54 yen and 118.46 yen. Euro was traded between 1.3474 dollar and 1.3497 dollar against the previous week's range between 1.3410 dollar and 1.3664 dollar.
US dollar retained its gains with a downward bias against Bangladesh taka (BDT) last week in a moderately active market, fund managers said.
The exchange rate of the greenback moved between Tk 68.54 and Tk 68.70 against the previous week's range between Tk 68.50 and Tk 68.80 in the interbank foreign exchange market, fund manager sources said.
The market witnessed a limited demand for dollar due to lower import payments. The inflow of remittance and export proceeds nourished the supply line ensuring adequate flow of dollar in the market, they said.
The greenback was also steady in public deals as well as in the local informal market. The cash dollar in public deals was exchanged at rates between Tk 67.49 and Tk 69.90 against the previous week's range between Tk 67.50 and Tk 69.90, funds managers said.
In the informal market, the greenback was traded at rates ranging between Tk 72.10 and Tk 72.40 in the local informal market against the previous week's range between Tk 72.10 and Tk 72.60. The brokers used to buy dollar mainly at rates between Tk 72.10 and Tk 72.20 and sold it between Tk 72.30 and 72.40, money dealers said.
The spot transactions in greenback during the week were almost stable in comparison to that of the previous week. The market experienced sufficient supply of the greenback that ensured the balance between the demand and the supply in the market, they added.
The dealer banks played reserved roles in making swap deals against customer requirements to fund their import payment obligations instantly. The lower use of swap deals was taken as an encouraging market behaviour, they added.
The central bank maintained regular monitoring and supervision activities to check unnecessary transactions in dollar by the dealer banks and ensure discipline in the foreign exchange market, sources said.
The central bank withdrew cash through auctions of reverse repurchase agreement (repo), treasury bills and Bangladesh Bank bills to maintain pressure on liquidity and discourage buying of dollar by keeping the call money rate at a reasonable level. The market, however, reflected its stable behaviour, they said.
The commercial banks offered high exchange rates to encourage Bangladeshi expatriates to send their money through the banking channel, fund managers said.
In the regional market, most of the currencies appeared steady against dollar. The exchange rate of Indian rupee against taka ranged between Tk 1.56 and Tk 1.71.
In the regional market, the exchange rate of dollar against Indian rupee moved between Rs 40.81 and Rs 41.13 and Pakistani rupee between Rs 60.40 and Rs 60.60.
Besides, the exchange rate of dollar against Malaysian ringgit varied between 3.4825 ringgit and 3.5180 ringgit, and that against the Thai currency between 32.55 baht and 34.50 baht.
In the international market, dollar was traded between 114.17 yen and 115.20 against the previous week's range between 114.54 yen and 118.46 yen. Euro was traded between 1.3474 dollar and 1.3497 dollar against the previous week's range between 1.3410 dollar and 1.3664 dollar.