Dollar price hiked more

The price of US dollar has been hiked again .

The price of US dollar has been hiked again as bankers have decided to further depreciate the local currency to increase the flow of foreign currency through formal channels.

The decision was taken at a meeting of the Bangladesh Foreign Exchange Dealers' Association (Bafeda) and Association of Bankers, Bangladesh (ABB) on Tuesday.

According to a bank official, banks will buy each greenback for Tk 110.5 from exporters as per the latest decision and sell it to importers for Tk 111, up by about Tk 0.50 per US dollar, or 0.45 per cent, from the rate set by bankers at the end of September.

The development comes as taka continues to remain under pressure amid falling foreign exchange reserves as exports and remittance have been falling below the requirement for import bills and other international payments.

Bangladesh's foreign exchange reserves decreased by $60 million in a week to hit $20.89 billion on October 25, according to Bangladesh Bank data.

Besides, the reserve has halved in a span of two years as it was around $40.7 billion in August 2021 and $33.4 billion at the end of June 2022, according to a document of the International Monetary Fund.

The volatility in the global market driven by the Russia-Ukraine war has sent commodity prices higher, hitting the forex reserves of import-dependent countries such as Bangladesh, experts previously said.