US dollar is costlier as local currency depreciated by Tk0.5

The exchange rate of US dollars has risen again against the local currency Taka amid a dearth of foreign exchange in the domestic market.

On Thursday, the customer has to pay Tk111 to buy a US dollar from banks, which was Tk110.5 a day ago on Wednesday. It means that in a day, the taka depreciated by Tk0.5, while the domestic currency depreciated by Tk2.30 in the last four months, according to the Bangladesh Bank (BB) data.

With this, in the current fiscal year 2023-24, the taka has depreciated against the dollar for the sixth time . At the beginning of the fiscal year in July, the price of a dollar was Tk108.70, and a year ago last November it was Tk101.38.

From now on banks will sell dollars to the importers at Tk111. The highest inter-bank dollar rate will be Tk114. Last month, it was decided to buy the dollar at Tk110 taka and sell it at a maximum of Tk110.50.

But banks are selling cash dollars at more than that of Tk3 or Tk5. Dollars are being bought and sold at Tk118 to Tk 119 in the open (kerb) market, outside the bank.

As a result, students, patients, and tourists going abroad would have to pay up to Tk 120 for every dollar when they want to buy cash dollars.

Talking to UNB, Syed Mahbubur Rahman, Managing Director and CEO of Mutual Trust Bank said banks are buying dollars at a higher rate, so they have to sell it at a higher price.

If the BB supplied dollars to banks at a fixed rate then it may be possible to supply at a unified rate, while banks have to buy it at a higher rate, the selling rate would be higher logically, he said.