Bangladesh’s foreign exchange reserves have begun to regain momentum, signalling renewed stability in the external sector, according to the Bangladesh Bank.
Latest data from the central bank shows that the country’s usable reserves, calculated under the International Monetary Fund’s BPM-6 methodology, have risen to nearly 31 billion US dollars. This marks a significant recovery compared with recent months, when reserves had come under sustained pressure.
As of Thursday, the country’s gross foreign exchange reserves stood at 35.62 billion US dollars. However, when adjusted for liabilities and accounting standards under BPM-6, the usable portion is estimated at 30.96 billion US dollars. In practical terms, this places the reserve position just shy of the 31 billion dollar mark.
Economists view this development as a positive turning point, driven by a combination of stronger remittance inflows, stable export earnings, and tighter control over import expenditure. The steady inflow of remittances from overseas workers has been particularly crucial, providing a consistent source of foreign currency liquidity for the banking system.
Officials at Bangladesh Bank noted that remittances routed through formal banking channels have increased, improving the availability of foreign currency in the official market. At the same time, the export sector—especially ready-made garments—has continued to perform steadily, supporting overall external earnings.
On the other side of the balance, import management measures have helped ease pressure on foreign exchange reserves. Restrictions and prioritisation of essential imports, alongside reduced demand for luxury goods, have contributed to a lower outflow of US dollars. As a result, the central bank has had less need to intervene in the foreign exchange market compared with previous periods.
Historically, Bangladesh’s reserves once peaked at over 48 billion US dollars. However, global economic disruptions, including the COVID-19 aftermath, energy price shocks, and the impact of the Russia–Ukraine conflict, led to increased import bills and heightened pressure on foreign currency reserves. During that period, the central bank frequently supplied dollars to stabilise the market while also tightening import controls and encouraging remittance inflows.
Bangladesh Bank typically publishes reserves in two formats: gross reserves and usable reserves under BPM-6 standards. The gross figure includes all foreign currency assets held by the central bank, while the usable figure excludes certain liabilities and short-term obligations, providing a more accurate measure of available funds.
Recent Reserve Position
| Category | Amount (USD) | Description |
|---|---|---|
| Gross Reserves | 35.62 billion | Total foreign assets held by the central bank |
| Usable Reserves (BPM-6) | 30.96 billion | Liquid reserves available under IMF methodology |
With usable reserves approaching the 31 billion dollar threshold once again, analysts suggest that Bangladesh’s external sector is showing signs of gradual stabilisation, supported by improved foreign currency inflows and more disciplined import management.