Bangladesh - Official exchange rate (LCU per US$, period average)

The value for Official exchange rate (LCU per US$, period average) in Bangladesh was 85.08 as of 2021. As the graph below shows, over the past 50 years this indicator reached a maximum value of 85.08 in 2021 and a minimum value of 7.70 in 1972.

Definition: Official exchange rate refers to the exchange rate determined by national authorities or to the rate determined in the legally sanctioned exchange market. It is calculated as an annual average based on monthly averages (local currency units relative to the U.S. dollar).

Source: International Monetary Fund, International Financial Statistics.

See also:

Year Value
1971 7.87
1972 7.70
1973 7.85
1974 8.23
1975 12.19
1976 15.40
1977 15.38
1978 15.02
1979 15.55
1980 15.45
1981 17.99
1982 22.12
1983 24.62
1984 25.35
1985 27.99
1986 30.41
1987 30.95
1988 31.73
1989 32.27
1990 34.57
1991 36.60
1992 38.95
1993 39.57
1994 40.21
1995 40.28
1996 41.79
1997 43.89
1998 46.91
1999 49.09
2000 52.14
2001 55.81
2002 57.89
2003 58.15
2004 59.51
2005 64.33
2006 68.93
2007 68.87
2008 68.60
2009 69.04
2010 69.65
2011 74.15
2012 81.86
2013 78.10
2014 77.64
2015 77.95
2016 78.47
2017 80.44
2018 83.47
2019 84.45
2020 84.87
2021 85.08

Development Relevance: In a market-based economy, household, producer, and government choices about resource allocation are influenced by relative prices, including the real exchange rate, real wages, real interest rates, and other prices in the economy. Relative prices also largely reflect these agents' choices. Thus relative prices convey vital information about the interaction of economic agents in an economy and with the rest of the world.

Limitations and Exceptions: Official or market exchange rates are often used to convert economic statistics in local currencies to a common currency in order to make comparisons across countries. Since market rates reflect at best the relative prices of tradable goods, the volume of goods and services that a U.S. dollar buys in the United States may not correspond to what a U.S. dollar converted to another country's currency at the official exchange rate would buy in that country, particularly when nontradable goods and services account for a significant share of a country's output. An alternative exchange rate - the purchasing power parity (PPP) conversion factor - is preferred because it reflects differences in price levels for both tradable and nontradable goods and services and therefore provides a more meaningful comparison of real output.

Statistical Concept and Methodology: The exchange rate is the price of one currency in terms of another. Official exchange rates and exchange rate arrangements are established by governments. Other exchange rates recognized by governments include market rates, which are determined largely by legal market forces, and for countries with multiple exchange arrangements, principal rates, secondary rates, and tertiary rates.

Periodicity: Annual

Classification

Topic: Financial Sector Indicators

Sub-Topic: Exchange rates & prices