At least 23 banks apply for limited authorized dealer (AD) licence only for cash dollar transactions, officials say, at a time when some minted millions from volatile forex market.
More than 650 branches of banks are likely to be allowed to deal with cash US dollar after licensing by Bangladesh Bank (BB).
"We'll issue licences to the banks shortly after completing our scrutiny," spokesperson for the central bank Md Serajul Islam told the FE Sunday while replying to a query.
He also says the central bank has taken decision on issuing the licences aiming to ensure discipline on the money market which reports say was manipulated to make some hot bucks amid a global-crunch time.
Talking to the FE, another BB official said the central bank had sought application from interested banks for such AD licensing to manage the ongoing volatility on the open market, generally known as kerb market.
Currently, more than 1200 AD branches are allowed to deal in all types of foreign currencies across the country, according to the central banker.
He also says the AD branches are also authorized to deal in foreign trade covering export and import business.
But the proposed limited AD branches will be empowered to deal only in cash dollar, not foreign trade, the BB official says explaining the limit to their reach.
The central bank has already taken different measures that include setting a spread rate between selling and buying of cash dollar by moneychangers at maximum Tk 1.50 to ensure market discipline.
"We've started execution of fresh spread, set by the BB on Wednesday, between selling and buying of the cash US dollar rates," MS Zaman, senior vice president of the Moneychangers' Association of Bangladesh, told the FE.
As per the latest BB directive, the moneychangers sold the cash dollar at maximum Tk 109.50 Sunday on kerb market in the capital while they purchased the greenback offering Tk 108.00.
Currently, 235 money exchanges are doing business with the permission of the central bank. But there are more than 700 moneychangers freewheeling on the money market.
On the other hand, the banks quoted maximum Tk 95.05 for the sale of bills for collection, generally known as BC, to their customers for settling import payments on Sunday--unchanged from the previous level.
Some banks, however, traded the greenback at rates ranging between Tk 95.05 and Tk 106 for settling the import-payment obligations, ignoring their announced rates, according to market operators.
On the other hand, the banks also quoted the dollar maximum at Tk 94.05 on the day to remitters as well as realised export proceeds or TT clean unchanged from the previous working day.
But some banks collected the export proceeds offering maximum Tk 105 instead of Tk 94.05 the same day to meet their growing demand for the greenback.
The American currency was quoted at Tk 95.00 each on the interbank market on the day--unchanged from the previous level.
