Dhaka, Bangladesh (BBN)- Commercial banks will have to submit their daily net open position (NOP) report to the Bangladesh Bank (BB) before starting of business hour of the next working day from July 1, officials said.
The decision was taken at a ‘Bangladesh Bank (BB)-Authorised Dealers’ Forum’ meeting at the central bank headquarters in Dhaka Wednesday with BB Executive Director Ahmed Jamal in the chair.
Currently, the banks are allowed to submit their daily NOP report to the central bank by 11 am of the next working day.
“We need the NOP report by 9.00am of each working day for taking necessary decisions on the inter-bank foreign exchange (forex) market,” a BB senior official explained.
He also said all banks have been advised to complete all preparations through updating their automation process by June 30 in this connection.
The central bank of Bangladesh earlier raised the NOP limit of the banks for holding foreign exchange in order to keep the inter-bank forex market stable.
The BB has increased the NOP by more than 11 per cent to US$1.51 billion from $1.36 billion earlier of all 56 scheduled banks.
The latest NOP has been determined on the basis of 15 per cent of the total regulatory capital of the banks as on March 31, 2015.
The banks are now empowered to retain more foreign exchange that helps minimising sale pressure of the US dollar in the inter-bank forex market, according to the central banker.
BBN/SSR/AD