Bangladesh's foreign exchange reserve crosses $46 billion mark | The Business Standard
Skip to main content
  • Latest
  • Economy
    • Banking
    • Stocks
    • Industry
    • Analysis
    • Bazaar
    • RMG
    • Corporates
    • Aviation
  • Videos
    • TBS Today
    • TBS Stories
    • TBS World
    • News of the day
    • TBS Programs
    • Podcast
    • Editor's Pick
  • World+Biz
  • Features
    • Panorama
    • The Big Picture
    • Pursuit
    • Habitat
    • Thoughts
    • Splash
    • Mode
    • Tech
    • Explorer
    • Brands
    • In Focus
    • Book Review
    • Earth
    • Food
    • Luxury
    • Wheels
  • Subscribe
    • Epaper
    • GOVT. Ad
  • More
    • Sports
    • TBS Graduates
    • Bangladesh
    • Supplement
    • Infograph
    • Archive
    • Gallery
    • Long Read
    • Interviews
    • Offbeat
    • Magazine
    • Climate Change
    • Health
    • Cartoons
  • বাংলা
The Business Standard

Friday
July 11, 2025

Sign In
Subscribe
  • Latest
  • Economy
    • Banking
    • Stocks
    • Industry
    • Analysis
    • Bazaar
    • RMG
    • Corporates
    • Aviation
  • Videos
    • TBS Today
    • TBS Stories
    • TBS World
    • News of the day
    • TBS Programs
    • Podcast
    • Editor's Pick
  • World+Biz
  • Features
    • Panorama
    • The Big Picture
    • Pursuit
    • Habitat
    • Thoughts
    • Splash
    • Mode
    • Tech
    • Explorer
    • Brands
    • In Focus
    • Book Review
    • Earth
    • Food
    • Luxury
    • Wheels
  • Subscribe
    • Epaper
    • GOVT. Ad
  • More
    • Sports
    • TBS Graduates
    • Bangladesh
    • Supplement
    • Infograph
    • Archive
    • Gallery
    • Long Read
    • Interviews
    • Offbeat
    • Magazine
    • Climate Change
    • Health
    • Cartoons
  • বাংলা
FRIDAY, JULY 11, 2025
Bangladesh's foreign exchange reserve crosses $46 billion mark

Economy

TBS Report
29 June, 2021, 10:20 pm
Last modified: 29 June, 2021, 10:30 pm

Related News

  • Forex reserve increased by $27.4 billion in April due to remittance growth, stable exports: Salehuddin
  • Bangladesh clears $1.50b ACU bills for Sept-Oct, bringing reserves down to $18.46b
  • Why $12.2b export proceeds pending abroad in 9 months of FY24
  • Foreign bill payment in taka: A potential game-changer?
  • Pakistan forex reserves up $280m to $4.6b on 17 March

Bangladesh's foreign exchange reserve crosses $46 billion mark

Reserve growth is strength for the economy, but its management can be a big challenge, CPD fellow Dr Mustafizur Rahman

TBS Report
29 June, 2021, 10:20 pm
Last modified: 29 June, 2021, 10:30 pm
Photo: Collected
Photo: Collected

Bangladesh's foreign exchange (forex) reserve crossed $46 billion-mark on Tuesday, thanks to lower import payment, higher growth of inward remittance and limited travel abroad, the central bank sources said.

Until 28 June, the reserve, one of the major macroeconomic indicators of an economy, stood at 46.08 billion dollars, setting a new record, according to the Bangladesh Bank's latest data. 

Covid-19 pandemic has led to low demand for the dollar for lower import costs than normal period, a surge in remittances and limited travel abroad, resulting in forex reserves to rise.

The Business Standard Google News Keep updated, follow The Business Standard's Google news channel

The reserve crossed the $45.01 billion-mark on 3 May and crossed the $44 billion mark on 24 February this year and touched the $40 billion-mark on October 28 last year.

In November last year, Finance Minister AHM Mustafa Kamal expressed hope that foreign exchange reserves would exceed $50 billion this year.

By international standards, a country has to have reserves equal to three months of import expenditure. With the amount of reserves that Bangladesh has now, it is possible to pay the import cost for more than 10 months.

The high flow of inward remittances has contributed to achieving such forex reserves. On 28 June, remittances reached $1.75 billion, up from $1.66 billion in the same period last year.

Besides, inward remittance from 1 July to 28 June of the current fiscal year was $24.59 billion, which is 36.40 percent more than the same period last year.

Center for Policy Dialogue (CPD)'s distinguished fellow Dr Mustafizur Rahman said high reserve growth can be analyzed in two ways.

He said this reserve can be handled with this reserve if the cost of imports rises, on the contrary, the high reserves indicate that Bangladesh's ability to repay foreign debt is increasing. This will make it easier to get more foreign loans. 

In other words, high reserves have a role to play in maintaining the stability of the macro-economy of Bangladesh. But the reason our reserves are rising sends a negative message to the economy.

Mustafizur Rahman said reserve is increasing mainly thanks to import decline, especially decline of capital machineries import due to the impact of the pandemic. This reserve is also saying that investment has decreased. When investment is low, employment also decreases, which curbs income of the people and increases poverty.

According to the central bank, the cost of importing capital machineries in the first 10 months of July-April of the current fiscal year fell by 7.5 % compared to the same period of the previous fiscal year.

Bangladesh's reserves are now in a stronger position than many countries in the world. More reserve is strength for the economy, but its proper management may pose a challenge in the future, Mustafizur Rahman said. 

For example, he said some issues will come to the fore due to high reserve, such as where to invest in additional reserves to get good returns, how to ensure the security of the reserves, and how to stabilize the money-dollar exchange rate.

In mid-March this year, the government set up an infrastructure development fund with $2 billion annually from the forex reserve as the volume of reserves increased. In the first phase, the Payra Port Authority has received a loan of around Tk5,500 crore from this fund.

Top News

Foreign Exchange Reserve

Comments

While most comments will be posted if they are on-topic and not abusive, moderation decisions are subjective. Published comments are readers’ own views and The Business Standard does not endorse any of the readers’ comments.

Top Stories

  • Kunming rising: China’s emerging healthcare hub draws Bangladeshi patients
    Kunming rising: China’s emerging healthcare hub draws Bangladeshi patients
  • Abul Barkat at Dhaka Metropolitan Magistrate Court on 11 July 2025. Photo: TBS
    Economist Abul Barkat sent to jail in Tk297cr embezzlement case
  • BNP senior leader Salahuddin Ahmed. Photo: Collected
    No scope for electoral alliance with Jamaat, door not closed for NCP: BNP's Salahuddin

MOST VIEWED

  • Photo: Mohammad Minhaj Uddin/TBS
    SSC, equivalent results: Pass rate drops to 68.45%, GPA-5 also declines
  • In terms of stream of education, girls maintained their excellence as well. Photo: TBS
    SSC 2025: Girls dominate boys by over 5%
  • Govt vehicle purchase, foreign trip, new building construction banned: Finance ministry
    Govt vehicle purchase, foreign trip, new building construction banned: Finance ministry
  • Students sit for SSC exam at Motijheel Girls' High School on 10 April 2025. Photo: Mehedi Hasan/TBS
    SSC exam results out: Here's how you can check online and via SMS
  • The overall pass rate across all boards this year, 68.45%, is significantly lower than last year's. Photo: Focus Bangla
    SSC 2025: Rajshahi board records highest pass rate, Barishal lowest
  • Representational image. Photo: Collected
    35% tariff: Bangladesh, US 'agree on most issues' as first day of talks ends

Related News

  • Forex reserve increased by $27.4 billion in April due to remittance growth, stable exports: Salehuddin
  • Bangladesh clears $1.50b ACU bills for Sept-Oct, bringing reserves down to $18.46b
  • Why $12.2b export proceeds pending abroad in 9 months of FY24
  • Foreign bill payment in taka: A potential game-changer?
  • Pakistan forex reserves up $280m to $4.6b on 17 March

Features

Kunming rising: China’s emerging healthcare hub draws Bangladeshi patients

Kunming rising: China’s emerging healthcare hub draws Bangladeshi patients

41m | Panorama
Photo: Collected/BBC

What Hitler’s tariff policy misfire can teach the modern world

22h | The Big Picture
Illustration: TBS

Behind closed doors: Why women in Bangladesh stay in abusive marriages

1d | Panorama
Purbachl’s 144-acre Sal forest is an essential part of the area’s biodiversity. Within it, 128 species of plants and 74 species of animals — many of them endangered — have been identified. Photo: Syed Zakir Hossain/TBS

A forest saved: Inside the restoration of Purbachal's last Sal grove

1d | Panorama

More Videos from TBS

Trump-Netanyahu in new strategy on Gaza issue

Trump-Netanyahu in new strategy on Gaza issue

31m | TBS World
Shocking science: why birds stay safe on electricity lines

Shocking science: why birds stay safe on electricity lines

1h | TBS Stories
Threat of 35 percent tariff on Canadian goods

Threat of 35 percent tariff on Canadian goods

2h | TBS World
Israel ready to strike back if Iran threatens: Katz

Israel ready to strike back if Iran threatens: Katz

4h | TBS World
EMAIL US
contact@tbsnews.net
FOLLOW US
WHATSAPP
+880 1847416158
The Business Standard
  • About Us
  • Contact us
  • Sitemap
  • Advertisement
  • Privacy Policy
  • Comment Policy
Copyright © 2025
The Business Standard All rights reserved
Technical Partner: RSI Lab

Contact Us

The Business Standard

Main Office -4/A, Eskaton Garden, Dhaka- 1000

Phone: +8801847 416158 - 59

Send Opinion articles to - oped.tbs@gmail.com

For advertisement- sales@tbsnews.net