Dollar Rises Slightly as Mixed Trends Emerge in Currency Market

On the final working day of the week, trading activities in Bangladesh’s currency market continued at a steady pace, with the US dollar experiencing a modest uptick after several days of decline earlier in the week. According to data released by Bangladesh Bank, the dollar traded today at a high of BDT 122.06 and a low of BDT 121.99, settling at an average rate of BDT 122.03.

This slight recovery follows a period of notable fluctuations between July and October, during which the dollar’s performance reflected broader global market pressures alongside domestic supply and demand dynamics. Currency instability during this period has been attributed to shifting import volumes, remittance inflows, and central bank interventions aimed at stabilising the foreign exchange market.

Mixed Movements Across Major Currencies

Today’s foreign exchange landscape presents a mixed picture. While the Australian dollar and the Singapore dollar have recorded marginal declines, several major global currencies have strengthened against the Bangladeshi taka. The euro, British pound, and Chinese yuan all posted upward movements, signalling renewed confidence in these currencies amid varying global economic indicators.

Conversely, the Indian rupee and the Japanese yen remained unchanged, maintaining their positions from earlier in the week. This stability is reflective of the broader regional currency trends, where moderate monetary policies and controlled inflation have contributed to steadier exchange rates.

Central Bank vs Open Market Rates

As is customary, foreign currencies continue to trade at slightly higher rates in the open market compared to official central bank figures. This differential—often influenced by market liquidity and informal sector demand—remains a point of concern for businesses, importers, and travellers alike.

Fluctuations in exchange rates have a direct bearing on the cost of doing business in Bangladesh. Rising exchange rates make imports more expensive, impacting sectors dependent on foreign raw materials and machinery. Meanwhile, exporters may benefit from a weaker taka, although persistent volatility can hinder long-term financial planning.

Currency Summary at a Glance

Economists continue to emphasise the need for stability in the foreign exchange market, noting that unpredictable currency movements pose challenges for trade, investment, and overall economic confidence. As Bangladesh approaches the final quarter of the year, close attention will remain on the taka’s performance and the central bank’s strategies to maintain exchange rate equilibrium.