Forex reserves surge to nearly $31 billion: Bangladesh Bank

Bangladesh’s foreign exchange reserves have continued to recover, with usable reserves nearing $31 billion, according to the latest data from Bangladesh Bank.

On Friday, central bank spokesperson Arif Hossain Khan confirmed that the country’s gross reserves stood at $35.61 billion, while reserves calculated under the IMF’s BPM6 standard reached $30.96 billion.

As of Thursday, reserves under the BPM6 method were $30.96 billion, up from $30.67 billion a day earlier. Gross reserves also increased to $35.61 billion from $35.33 billion.

The steady rise over recent weeks shows a gradual improvement in the country’s reserve position after a long period of pressure.

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Economists and bankers said higher remittance inflows, strong export earnings, and lower import costs have helped improve the reserve situation.

They also said more remittances are now coming through formal banking channels, strengthening the supply of foreign currency.

Bangladesh Bank officials added that lower imports of non-essential and luxury goods have reduced pressure on the dollar market, allowing the central bank to sell fewer dollars to maintain stability.

Analysts said stronger reserves improve the country’s ability to meet import payments, reduce external financial risks, and send a positive signal to international lenders and foreign investors.

Bangladesh’s reserves had exceeded $48 billion in 2021 before falling sharply due to the global energy crisis, the Russia-Ukraine war, high import costs, and rising demand for US dollars.