One exchange rate from Sunday to tackle dollar instability

A uniform exchange rate of the US dollar will be fixed from Sunday for all banks, to ease overcome the volatility in the foreign exchange market.

The decision was taken at a tripartite meeting between the Bangladesh Bank, Bangladesh Foreign Exchange Dealers Association (BAFEDA) and Association of Bankers, Bangladesh (ABB) on Thursday (May 27).

Sources said, various issues - ways to keep the dollar rate stable, import expenditure, remittances, were discussed in the meeting.

ABB and BAFEDA will set the exchange rate everyday with verbal consent from the Bangladesh Bank. Then, the central bank will fix the rate.

After the meeting, Md Serajul Islam, executive director and spokesperson of Bangladesh Bank said that bankers will set a single dollar rate on Sunday. After that, Bangladesh Bank will fix the single rate of dollar in interbank transactions.

On Thursday, a dollar was trading for Tk97.50, down from Tk98.50 a day ago, in the kerb market while the interbank rate was static at Tk87.90.