SANGSAD BHABAN, June 6, 2024 (BSS) - Finance Minister A H Mahmood Ali today
said the exchange rate of Taka will gain again once the reserve is
stabilized.

"The 'Crawling Peg' system has been introduced as a primary measure to make
the exchange rate market-based. As a result, exports will be encouraged and
remittances through official channels will increase as well," he said.

Besides, he said though the financial account is facing a deficit, it is
expected that it will reduce in the medium-run and foreign exchange reserve
will continue to grow.
 
The finance minister expressed the views while placing around Taka 7.97 lakh
crore national budget for FY25 at Jatiya Sangsad here this afternoon.

Describing expatriate workers as the driving force of Bangladesh's economy,
he said their remittance plays an important role in ensuring the good living
of their family members.

"It also contributes to strengthening our foreign exchange reserve," he
added.

He hinted that the opportunity for our unskilled and semi-skilled migrant
workers may narrow down in the overseas market in future since we are
observing revolutionary transformation of technology caused by artificial
intelligence (AI), Robot and other machine-dependent production systems due
to the fourth Industrial Revolution (IR).

The minister mentioned that Bangladesh must, therefore, take initiatives to
create a conducive environment for the new generation so that they can
acquire necessary skills and knowledge to face the challenges arising out of
fourth IR.

"Side by side, we have to create opportunities for up-skilling and re-
skilling them to meet the global standards," he added.

He informed that during July-May period of the current fiscal year, a total
of US$21.3 billion of remittances repatriated into the country which is
around 9.82 percent higher than the remittances of the corresponding period
in the last fiscal year.

The Current Account stood at a surplus of US$5.8 billion at the end of March
this year since the exports continued to grow, non-essential imports fell,
and remittances picked up compared to the previous fiscal year, he added.