Dhaka, Bangladesh (BBN) – Bangladesh is going to import US cash dollars worth 10 million to meet the growing demand for cash greenbacks in the local foreign exchange market, officials said.
“The central bank of Bangladesh has already given permission to the Standard Chartered Bank (SCB), a foreign commercial bank, for importing the US currency,” a senior official of the Bangladesh Bank (BB) said, adding that the import process will be finalized subject to approval by the commerce ministry.
The BB has taken the move against the backdrop of short supply of the cash US currency in the local forex market in the recent months.
“The exchange rate of cash US dollars in the kerb market increased this week due mainly to short supply of the greenback in the formal market,” a market insider said.
The buying rate of US dollars in the kerb market was higher by around
BDT 4.0 on Wednesday than what was offered by state-owned banks.
The greenback was sold between BDT 73.50 and BDT 73.60 in the informal market on the day, while the buying rates were between BDT 73.00 and BDT 73.10.
Market insiders also said the supply of cash dollars in the informal market has been affected because of tight vigilance by the authorities concerned, particularly at the airport, although the demand for greenbacks has remained unchanged.
Besides, the tough anti-money laundering act has been discouraging the expatriate Bangladeshis from sending their hard-earned money through illegal ‘hundi’ channel.
The price of US dollars normally increases in the kerb markets when substantial illegal transactions like smuggling and under-invoicing take place, they noted.
BBN/SI/AD-13Sept10-10:59 am (BST)
