The US dollar is strengthening against the Bangladeshi taka as demand for foreign currency rises to settle import payments. On July 13, the weighted average rate for the dollar reached Tk 123 in interbank trading, gradually increasing after three days of stability.
By July 30, the taka-to-dollar exchange rate climbed to Tk 123.82 in the interbank market, with the dollar trading at Tk 123.88 on the spot market, as per Bangladesh Bank (BB) data. A senior official at a private bank attributed the pressure on import payments to the surge in demand, specifically for fuel and fertilizer imports by government entities, alongside an overall rise in imports.
Between July and May, Bangladesh saw a 6.26 percent year-on-year increase in imports, reaching $64 billion, while exports experienced a 2 percent decline to $40 billion, according to BB figures. Despite a record $35.5 billion in remittances received during this period, sourced from migrant workers and expatriate Bangladeshis, the flow has tapered off post the Eid-ul-Fitr and Eid-ul-Azha celebrations.
Banking experts suggested that export prospects may remain subdued, with concerns heightened by escalating conflicts in the Middle East leading to surges in oil prices. This situation is anticipated to exert continued pressure on the taka for the foreseeable future. However, a weaker taka could potentially boost export competitiveness, noted bankers.
With the surge in foreign currency demand, BB ceased purchasing US dollars from the market since June 8. The central bank had acquired $6.4 billion between July 2025 and June 2026 to bolster foreign exchange reserves.
