Bangladesh Bank on Sunday bought $83 million from 11 banks through the multiple price auction method, with bids ranging between Tk121.47 and Tk121.50. The cutoff rate was set at Tk121.50, according to the central bank’s Foreign Exchange Auction Committee.
Through such purchases, the central bank injects taka liquidity into the banking system, aiming to ease liquidity conditions while containing volatility in the foreign exchange market and supporting remittance and export flows.
Officials said the main objective of the operation is to boost foreign exchange reserves. Gross reserves on Sunday stood at $30.248 billion, while the figure was $25.232 billion when calculated under the Balance of Payments and International Investment Position Manual, Sixth Edition, of the International Monetary Fund.
Following a brief decline in the dollar rate, Bangladesh Bank has stepped up purchases since mid-July, acquiring over half a billion dollars in this period.
Market analysts say the measures, alongside the gradual strengthening of the taka, indicate a strategic shift from defending the currency to managing a growing surplus in foreign exchange supply.