According to updated data from Bangladesh Bank, in the last fiscal year the central bank bought about $5.70 billion from commercial banks. In contrast, in the current fiscal year, up to November 14, it has sold about $420 million. That is, the institution that withdrew dollars from the market in the previous fiscal year now has to supply dollars to the market.

According to the central bank’s monetary policy review report, although it bought $5.70 billion from the market during July-April of fiscal 2025-26, it did not sell any dollars from reserves.

In the last fiscal year, increased remittance and export earnings improved dollar supply in the market, creating an opportunity to increase reserves by buying dollars from the market. But in the current fiscal year, rising fuel oil and gas prices in the global market and increased imports of consumer goods centering the upcoming Ramadan have raised dollar demand. The central bank is selling dollars from reserves to keep the exchange rate stable.

Bangladesh Bank spokesperson and Executive Director Arif Hossain Khan said dollars were sold in a limited scope after reviewing the overall market situation. He said the reserve position is also good.

However, some bankers have questioned the rise in dollar demand. According to them, even though remittance flow is at a record level, private sector credit growth is around 4 percent, and imports of industrial necessities have decreased, the reason for the extra demand needs to be investigated.

It may be noted that in the five years after June 2020, Bangladesh Bank sold a total of $35.35 billion from reserves and bought $12.33 billion from the market during the same period. After the political change in August 2024, dollar sales from reserves were stopped; after a long pause, the central bank started selling again in September 2026.