The Central Bank of Bangladesh has reported a contraction in the nation’s gross foreign exchange reserves following the settlement of import obligations through the Asian Clearing Union (ACU). On Sunday, 10 May 2026, the central bank disclosed that the total reserves now stand at $34.14 billion, a figure influenced by the periodic clearing of inter-regional trade debts for the March–April period.
Settlement Details and Reserve Metrics
According to the official data released by Bangladesh Bank, the ACU bill for the two-month period ending in April amounted to $1.51494 billion ($1,514,940,000). Prior to this mandatory transaction, the gross reserves were recorded at $35.61 billion as of the close of business on 7 May.
The central bank provides reserve figures under two distinct methodologies: the traditional gross calculation and the Balance of Payments and International Investment Position Manual (BPM6), a standardised framework established by the International Monetary Fund (IMF).
Pre-settlement (7 May): Gross reserves stood at $35.61 billion, while the BPM6-compliant reserves were $30.96 billion.
Post-settlement (10 May): Following the ACU payment, gross reserves adjusted to $34.14 billion, and the BPM6-standard reserves fell to $29.47 billion.
Historical Context of ACU Payments
The Asian Clearing Union is an inter-regional payment arrangement that facilitates the settlement of trade transactions among the central banks of nine member nations: Bangladesh, Bhutan, India, Iran, Maldives, Myanmar, Nepal, Pakistan, and Sri Lanka. Under this mechanism, import and export dues are aggregated and settled every two months. In contrast, trade transactions with countries outside the ACU framework are settled immediately through standard banking channels.
The $1.514 billion payment for the March–April cycle follows a series of fluctuating settlement amounts observed over the past year, reflecting the volatility of regional trade and commodity prices:
January–February Period: Bangladesh paid $1.3687 billion.
November–December Period: The bill was recorded at $1.53 billion.
September–October Period: This period saw a higher settlement of $1.61 billion.
July–August Period: The payment stood at $1.50 billion.
Officials from Bangladesh Bank clarified that the current payment covers the import liabilities incurred during the spring months. They noted that the resultant dip in the reserve stockpile is a standard technical adjustment typical of the bi-monthly ACU cycle.
Economic Outlook and Recovery Factors
Despite the reduction in the foreign exchange buffer, central bank officials remain optimistic regarding the medium-term stability of the reserves. The sustainability of the nation’s external account is expected to hinge upon three primary economic pillars. Firstly, there is an anticipation of increased export earnings, particularly from the ready-made garment (RMG) sector, which remains the primary driver of foreign currency.
Secondly, remittance inflows from expatriate workers are projected to provide a significant cushion. As noted in separate central bank reports, remittances often surge during festival periods, such as the upcoming Eid-ul-Adha, providing much-needed liquidity to the banking system.
Finally, the government is expecting the release of further loan tranches from global development partners, including the IMF and the World Bank. These disbursements are critical for bolstering the BPM6-compliant reserves, which serve as the primary metric for assessing the country’s import cover and external solvency. While the current reserve levels are sufficient to cover several months of imports, the central bank continues to manage domestic dollar liquidity closely to mitigate the impact of external debt service and essential commodity purchases on the national treasury.