Forex reserves rise $14m in a week

Bangladesh's foreign currency reserves rose $14 million in a week to about $19.96 billion, central bank figures showed.

The Bangladesh Bank data based on the calculation made in line with the formula of the International Monetary Fund (IMF).

In July last year, the BB began publishing the reserves as per the lender's BPM6 manual to ensure that the country's dollar stockpile is reported accurately.

The adoption of the manual comes as part of the conditions agreed with the IMF for the $4.7 billion loan programme.

Bangladesh's reserves reached a record high of about $40.7 billion in August 2021. But rising global commodity prices, supply disruptions, a slowdown in external demand, and shift in remittance back to informal channels have led to the rapid decline of reserves.

However, the reserve has received a boost recently riding on loans from the development partners as well as a pick-up in exports and remittances and a fall in imports.

Merchandise exports rebounded strongly in January as manufacturers shipped goods worth $5.72 billion, the highest in a single month.

Similarly, the remittance flow rose to a seven-month high in the first month of the year. Imports fell 22.41 percent in November, the latest for which data from the central bank was available.