Cenbank to punish banks if dollar sold at more than Tk1 than purchase rate
Non-compliance would result in fines and other punitive actions, the central bank says
The Bangladesh Bank has issued a stark warning to banks against charging more than Tk1 per dollar than the purchase rate.
Non-compliance would result in fines and other punitive actions, the central bank said in a circular sent to managing directors and CEOs of banks today (2 January).
"The foreign currency exchange rate must be displayed on the screen of the banks," the circular also reads.
Keep updated, follow The Business Standard's Google news channel
Besides, the central bank has instructed banks to show the exchange rates at the top of their websites and send foreign exchange transactions to the regulator on a daily basis.
Failure to comply with the instructions will result in punitive measures including financial penalties.
The banking regulator set the limit to ensure stability in dollar trading, according to a central bank official.
In December, dollar price peaked at Tk128, creating volatility in the market after a few months of stability, which prompted the Bangladesh Bank to seek explanations from 13 banks as to why they were charging more for than exchange houses for the greenback.
Bangladesh Bank's Deputy Governor Zakir Hossain Chowdhury later held a meeting with the treasury heads of 13 banks and instructed them not to collect remittances at over Tk123 per dollar.
