Exchange Rate Now!

It has been more than 35 years since Bangladesh has a currency of their own, yet throughout these 35 years, it is noted that the Bangladeshi Taka (BDT) has been on a decline against major currencies around the world, including the US Dollar.

Currently, 1 US Dollar trades at about 68.88 Bangladeshi Taka, or 1 Bangladeshi Taka compared against 0.0145 USD. While this rate is still higher compared to its neighbour Pakistan, there is little indication if the Bangladeshi may appreciate against the US Dollar in the long term.

The value of the Bangladeshi Taka is often affected by the remittance of US Dollar by Bangladeshis working overseas. Many Bangladeshis work overseas as maids, construction workers and other similar low paying jobs, but earning salary still  much higher than if they would had earned in Bangladesh. While there could be hardship, most Bangladeshi are able to endure the time away from home as they will usually head home once they have saved up enough after about 5-10 years, enough for them to setup their own businesses or if they are lucky enough, to retire. In the meantime, the money they remit back (in US Dollar or other currencies) means that there is a stable demand for the Bangladeshi Taka, preventing the value of the Bangladeshi from sliding.

One key trend that can potentially reverse the depreciation of the Bangladeshi Taka is to increase the remittance amount by their overseas citizens. This can be increased not by having more citizens working overseas, but by having citizens working overseas remitting more money home. This will require (more…)

Panic hits the air recently when the slide of US Dollar continued against the Euro, reaching a low of 1 Euro (EUR) = 1.4905 US Dollar (USD). Forex traders who bet against the US Dollar are now raking in big profits and the contrarians reeling from their Hugh losses.

The trend of US Dollar slide against the Euro has been widely fore-casted. This is not surprising, on the back of budget deficit in the US faced by the Obama administration as well as increased confidence in the global economy, prompting institutional investors to move out from the US Dollar reserves into assets, alternative currencies like the Euro and even commodities. Most forex traders are now betting against further depreciation of the the US Dollar.

The imminent depreciation in US Dollar further down the road is widely anticipated. It is unlikely that despite his eloquence, President Obama can talk his way into (more…)

Forex Traders have been sitting on the edge of their seats recently as the biggest currency in the world, the US Dollar (USD) seem to suffer a collapse and depreciated against other major currencies in the world. Such fluctuations has the ability to make millionaires or bankrupts overnight.

The reason for the fall lies mainly with the originator – United States. While the gloom over the global financial crisis might have subsided, the federal government still needs a size-able budget to keep the government going, to keep the economy going and to even keep the war in Afghanistan and Iraq going. All these money comes from loans, issued in the form of treasury securities, which essentially has the same effect of  issuance of new US Dollars. As the US government continues their trend of spending and chalking up budget deficit, the amount of securities issued increases. This essentially depreciates the value of the US Dollar (more…)