Desk Report,
There is now a surplus of dollars in the banking system, and prices are falling due to lack of demand.
The supply of foreign currency dollars in the banking system is now greater than the demand for them. This surplus situation has been prevailing for a long time. So we had been thinking for a few months that it would have an impact on the price of the dollar at some point. Especially before the last Eid-ul-Azha, the increase in the supply of dollars was affecting the price. Our expatriate and export income was increasing continuously. That is why we were realizing that it would have an impact on the price of the dollar sooner or later. We saw that recently. In addition, to prevent major instability in the dollar market,
There is now a surplus of dollars in the banking system, and prices are falling due to lack of demand.
we also saw the Bangladesh Bank buying large amounts of dollars for a few days. This happens all over the world. When price instability occurs, the central bank intervenes. We have seen that a few years ago, due to the dollar crisis in the country, various restrictions were imposed by the Bangladesh Bank and the government. These were especially imposed on imports. As a result, imports have decreased significantly. Again, due to high inflation and contractionary monetary policy for a long time, the manufacturing sector has also shrunk. Due to this, investment in the industrial sector has not increased. Due to the lack of new investment or business expansion, the demand for industrial machinery or raw materials has also decreased significantly. Due to this, the demand for dollars has decreased. Again, during the dollar crisis, the debts of various foreign companies and institutions were also stuck.
The supply of foreign currency dollars in the banking system is now greater than the demand for them. This surplus situation has been prevailing for a long time. So we had been thinking for a few months that it would have an impact on the price of the dollar at some point. Especially before the last Eid-ul-Azha, the increase in the supply of dollars was affecting the price. Our expatriate and export income was increasing continuously. That is why we were realizing that it would have an impact on the price of the dollar sooner or later. We saw that recently. In addition, to prevent major instability in the dollar market, we also saw the Bangladesh Bank buying large amounts of dollars for a few days. This happens all over the world. When price instability occurs, the central bank intervenes. We have seen that a few years ago, due to the dollar crisis in the country, various restrictions were imposed by the Bangladesh Bank and the government. These were especially imposed on imports. As a result, imports have decreased significantly. Again, due to high inflation and contractionary monetary policy for a long time, the manufacturing sector has also shrunk. Due to this, investment in the industrial sector has not increased. Due to the lack of new investment or business expansion, the demand for industrial machinery or raw materials has also decreased significantly. Due to this, the demand for dollars has decreased. Again, during the dollar crisis, the debts of various foreign companies and institutions were also stuck.
