Bangladesh Bank unveils market-based exchange rate to meet IMF terms
Bangladesh has transitioned to a market-driven currency regime following months of talks with the IMF over exchange rate flexibility. This has unlocked $3.5 billion in foreign loans from multilateral lenders. Expected by June, this inflow will boost the strained budget. The IMF will release $1.3 billion, the fourth and fifth tranches of its $4.7-billion loan package, after the central bank’s move.
Bangladesh has transitioned to a market-driven currency regime following months of talks with the IMF over exchange rate flexibility.
This has unlocked $3.5 billion in foreign loans from multilateral lenders.
Expected by June, this inflow will boost the strained budget.
The IMF will release $1.3 billion, the fourth and fifth tranches of its $4.7-billion loan package, after the central bank’s move.
