Dhaka, Bangladesh (BBN)- The Bangladesh Taka (BDT) depreciated slightly against the US dollar in the outgoing 2014 following increased import payment obligations in last two months of this calendar year, bankers said.
The local currency depreciated by 0.24 per cent against the US dollar in 2014 due to higher demand for the greenback to settle import payments by the commercial banks.
The US dollar was quoted at BDT 77.95 in the inter-bank foreign exchange (forex) market on Tuesday, the last working day of the calendar year 2014 against BDT 77.75-Tk 77.77 on December 30, 2013, according to the central bank statistics.
“The BDT was very much stable in 2014 compared to other peers’ group countries including India,” Kazi Sayedur Rahman, general manager of the Forex Reserve and Treasury Management Department of the Bangladesh Bank (BB) told BBN in Dhaka.
The depreciating trend of BDT against the US currency started in the middle of November last and continued until last working day of this calendar year due to higher import payments, the market operators said.
The demand for US currency increased in the last couple of months due to settle import payments for petroleum products, fertilisers, capital machinery, scrap vessels and other essential items, they added.
Earlier on November 24 last, the BB resumed intervention in the foreign exchange market through selling of the US dollar to the commercial banks directly after nearly two years and a half to keep the market stable.
As part of the move, the central bank has so far sold $357 million to the commercial banks to meet the growing demand for the greenback.
“The existing depreciating tendency of BDT against the US dollar may continue in the next calendar year,” a senior treasury official of a leading private commercial bank said.
BBN/SSR/AD-31Dec14-11:50 am (BST)