Forex market likely to stabilise by January-February: Bangladesh Bank

The demand and supply of foreign currencies will see a balanced condition by next January-February hopefully, said the Bangladesh Bank.

"Media reports stating that the opening of LCs has been suspended are not true," central bank spokesperson Abul Kalam Azad said in a briefing on Monday (14 November).

"LCs worth $1,263 million were opened in the first 10 days of November and it was $4,743 million in October this year," he added.

Abul Kalam Azad further said, "Banks are opening LCs considering their stock of foreign currencies."

Regarding the news of halting LC opening, the BB spokesperson said, "When the global situation becomes vulnerable, such rumours begin to spread."

Besides, the bank regulator, in a notice today, also said that there is no bar on the opening of commercial letter of credit (LC).

In addition, the Bangladesh Bank provides dollar support in payment of government LCs opened for import of priority sectors and essential commodities (fuel, fertilizer and food) to maintain economic stability by keeping the country's energy and food security intact, the notice added.

Besides, remittance earnings saw a 2.8% year-on-year growth as the country received $659 million from expat Bangladeshis as of 10 November this year compared to $641 million during the same period last year, according to the BB notice.