The Bangladesh Bank on Tuesday purchased $373 million from 22 commercial banks through a dollar auction, setting the floor price at Tk121.50 per dollar.
Central bank spokesperson Arif Hossain Khan confirmed this to the media and stated that the central bank’s foreign exchange auction committee accepted bids at a cut-off USD-BDT rate of Tk121.50.
So far, the central bank has bought a total of $484 million in two separate auctions over the past three days.
Meanwhile, in a major policy change, Bangladesh Bank cut the standing deposit facility (SDF), also known as the reverse repo rate, by 50 basis points to 8% to revitalize the faltering call-money market.
The current interest rate in SDF is 8.50%.
The Monetary Policy Department (MPD) of the central bank issued a circular in this regard on the day.
The latest change in the SDF will be effective from Wednesday.
However, the policy rate, or the overnight repo rate, remained unchanged.
