Forex reserves slip below $21 billion

Bangladesh's foreign exchange reserves have stood at $20.95 billion as per the International Monetary Fund (IMF) reserve calculation method.

The reserves can cover imports of more than three months as per recent import trends. Currently, the average monthly import expenditure is $6 billion.

According to the Bangladesh Bank data published on Thursday, gross reserves (which include Export Development Fund and loans from reserves) stood at $26.68 billion.

The central bank started following the IMF's Balance of Payments and International Investment Position Manual (BPM6) in calculating foreign exchange reserves as per a condition set by the global lender for a $4.7 billion loan approved for Bangladesh.

The country's foreign exchange reserves have been falling for more than a year due to higher import payments and lower than expected export earnings and remittance inflows.