Taka continues to weaken against dollar
The taka has continued to decline against the dollar in the past three weeks due to sustained demand for the greenback from banks and importers, according to data from the Bangladesh Foreign Exchange Dealers’ Association.
The average BC (bills for collections/import payments) selling rate reached over Tk 80 a dollar yesterday, the highest since February 2013, BAFEDA data shows.
The banks’ average BC selling rate was Tk 78.2 on October 26 and Tk 78.64 on November 3. This average rate ended at Tk 80.068 adollar yesterday.
Citibank quoted the highest of Tk 80.95 for the BC selling rate a dollar yesterday, followed by Standard Chartered Bank with Tk 80.85. National Bank of Pakistan quoted the dollar price at Tk 78.80, the lowest rate.
In the kerb market, the dollar traded at about Tk 83 yesterday, while the inter-bank exchange rate for a dollar crossed Tk 78.5, compared to Tk 77.88 on October 26, according to the central bank.
Although the trend is forcing businesses to pay more for their imports, it has become a boon for exporters and remitters. There is also a fear of inflationary pressure, as the prices of imported goods will increase.
Bankers blame the fall in the exchange rate on slow export growth, negative growth in inward remittances in October compared to the previous month, payment pressure for oil import by Bangladesh Petroleum Corporation and the increasing foreign currency loans extended by offshore banking units.
The inter-bank exchange rate remained stagnant at Tk 77.8 for the 10 months to October 25 this year. It hovered around Tk 77.75 adollar in 2014 and 2013.
Though the inter-bank exchange rate looks significantly lower than the market rate for import payments, bankers said, the reality is that no banks have dollars to trade between them.