Cenbank returns licences of 6 money changers

The central bank has conditionally returned the licences of six money changers who were suspended on several charges, including buying and selling dollars at a price higher than the fixed rate.

The money changer institutions that got back their licences are—York Money Exchange, Zaman Money Changing House, Jenny Money Exchange Limited, Standard Money Exchange, JB Money Exchange, and Bengal Money Exchange.

However, the licence of Mercy Money Exchange is still suspended due to the same complaint. The central bank has said that the company has not yet fulfilled all the conditions.

"We had several discussions with the money changers whose licences were suspended. They have given us written statements that they will never sell cash dollars at a price higher than that set by the central bank," a senior official of the central bank said.

While returning their licences, the central bank gave several conditions to the money changers in a letter. The conditions include—no institutions can trade foreign currency with multiple selling points, and no false information can be provided in reporting foreign currency trading rates to the central bank.

Moreover, the money changers also received a warning in the letter that if they made the same mistake again, their licence would be permanently revoked without any further opportunity.

Two of the money changer firms that have regained their licences have acknowledged receiving the central bank's letter.

Another senior official of the central bank said that the central bank had permitted them to sell cash dollars Tk1.50 higher than the official bank rate. Now banks are selling dollars at an average of Tk112.78. This means the money changers can sell cash dollars for a maximum rate of Tk114.28.

Earlier, in the last week of August, when the price of the dollar reached Tk118 in the open market, the central bank, along with the law and order forces, launched a raid on the money changers. Several money changer employees and traders were arrested on charges of hundi trading. At the same time, more than crores of hundi money was seized.

Several officials of the central bank said that during the raid, money changers were found to be selling dollars at a rate higher than the rate set by the central bank. Besides, many money changers are warned about keeping more money than the prescribed limit.

At the end of this campaign, the licence of seven money changers was suspended, and explanations were summoned from 10 money changers.

Dollar sells at Tk120 in kerb market

According to officials of at least five money changers in the Motijheel and Dilkusha areas of the capital, the price of cash dollars has not decreased due to the punitive action of the central bank.

The money changers sold cash dollars at Tk120 yesterday. However, the buyers said that they are not getting enough dollars even at this price.

Money changer firms said that the bank does not have cash dollars. Even when customers come to them, they are not always able to supply the dollars on demand.

The owner of a money changer said, "Some money changers are secretly dealing with the customers. That is, these money changers have moved from the formal market to the black market. As a result, more volatility has developed in the cash dollar market. It takes a lot of time to bring these institutions back on track."