Bangladesh to get $3.5bn next month from global lenders: BB Governor 

Bangladesh Bank Governor Ahsan H Mansur said that the country will receive $3.5 billion in external financing in June, including $1.3 billion from the International Monetary Fund (IMF).

The remaining amount will come from the Asian Development Bank (ADB), the World Bank and the Japan International Cooperation Agency (JICA), the governor said at a virtual media briefing on Wednesday (14 May).

At the same event, the central bank announced the adoption of a "market-based" exchange rate regime, abandoning the partially flexible system that had been in place until now.

Under the new system, the exchange rate of the dollar will be determined by market forces, Mansur said, adding that Bangladesh Bank expects the rate to remain stable due to strong inflows from exports and remittances.

The IMF has concluded its fourth review under the loan programme for Bangladesh, paving the way for a combined release of $1.3 billion for the fourth and fifth tranches by June, said the finance ministry today in a press release.

 The funds are expected following a staff-level agreement reached after discussions in Dhaka and Washington in April. The IMF and Bangladesh also agreed on reforms in revenue management and the exchange rate regime.

Additionally, $2 billion in budget support is expected from development partners. The government said all reforms were nationally planned, with partners offering only technical assistance.