USD to BDT Historical Exchange Rate: Chart & Trends

USD to BDT Historical Exchange Rate: Chart & Trends

If you've ever wondered why the Bangladeshi Taka has lost so much ground against the US Dollar — or you're trying to make sense of the chart you see above — the short answer is: USD/BDT has moved from around 80 in 2019 to roughly 120 in 2024, a 50% Taka depreciation in five years. That's not normal drift. That's the cumulative impact of a foreign-reserve collapse, a balance-of-payments crisis, three step-devaluations in 18 months, an IMF bailout, and the structural pressures of a country that imports oil in Dollars and exports garments in Dollars. Use the converter above for today's exact rate; in this guide we'll explain the chart, what each leg of the trend means, and what to watch next.

This isn't an academic exercise. If you're a Bangladeshi expat in Toronto, Dubai, or New York sending money home to Dhaka, a garment-factory owner in Chittagong pricing Dollar-denominated fabric imports, or a development economist tracking South Asia's biggest recent currency story — the BDT chart tells you something about Bangladesh's economic health that no single news article captures. We've been tracking USD/BDT closely, and based on our analysis, this is one of the most consequential currency stories of the last five years that almost nobody outside the country has noticed.

Reading the USD/BDT chart: what each leg means

The historical chart above (use the time-range selector to view 1-year, 3-year, 5-year, or all-time) tells the story of Bangladesh's currency in five distinct phases. Here's what each one means:

Phase 1: The stable peg era (2014-2021)

For most of the 2010s, USD/BDT traded in a tight 78-85 band. Bangladesh Bank (the central bank) maintained a "crawling peg" — effectively managing the Taka to keep exports competitive and imports affordable. This was the golden era of Bangladesh's garment export boom: the country became the world's second-largest apparel exporter (after China), with garment exports rising from $20 billion in 2014 to $42 billion by 2019. The stable currency made it easy for global buyers (H&M, Zara, Walmart, Target) to plan multi-year sourcing contracts, and Bangladesh earned a reputation as a low-cost, stable supplier.

The reserves grew to a peak of $48 billion in August 2021 — a healthy buffer that gave Bangladesh Bank plenty of room to defend the Taka. The exchange rate didn't move 1% in any single quarter during this period. If you'd been sending remittances home during this era, the math was simple and predictable: $1,000 always landed as roughly 84,000-85,000 Taka.

Phase 2: The first cracks (early 2022)

The Russia-Ukraine war in February 2022 changed everything. Oil and commodity prices spiked globally, and Bangladesh — which imports roughly 35% of its energy needs — saw its import bill balloon. The current account swung from surplus to deficit within months. Reserves started falling: from $48 billion in August 2021 to $42 billion by end-2022 to $32 billion by mid-2023 to a low of $19 billion in early 2024. The chart above shows this clearly — the rate started drifting upward from 85 to 90 in the first half of 2022.

Phase 3: The step-devaluations (May 2022 - June 2023)

Rather than letting the Taka float freely, Bangladesh Bank chose a series of "step-devaluations" — discrete ~5% drops that allowed exporters to plan around a new fixed level rather than dealing with continuous depreciation. The key steps:

• May 2022: BDT devalued from 86 to 89 (-3.5%) to absorb the initial oil-price shock.
• September 2022: 89 to 93 (-4.3%) — the post-Nord Stream sabotage energy spike.
• October 2022: 93 to 95 — pressure building.
• March 2023: 95 to 100 (-5.3%) — breaking the psychological 100 barrier.
• May 2023: 100 to 105 (-5.0%) — reserves approaching $30 billion.
• June 2023: 105 to 110 (-4.8%) — IMF Stand-By Arrangement negotiations.

By mid-2023, the Taka had lost 28% of its value against the Dollar in 18 months. Remittances from Bangladeshi expats (mostly in Saudi Arabia, UAE, Oman, Malaysia, UK, US, and Canada) — which had been ~$20 billion/year — actually grew in Dollar terms as expats took advantage of the favorable rate to send more home. But the reserves kept bleeding.

Phase 4: The IMF bailout and managed float (2023-2024)

In January 2023, Bangladesh reached an agreement with the IMF for a $4.7 billion loan under the Extended Fund Facility (EFF), with strict conditions: reform the exchange rate regime, allow greater Taka flexibility, build reserves back to $40 billion, reduce defaulted loans in the banking sector, raise taxes, and increase energy prices. The IMF program is the framework that has shaped every BDT policy decision since.

Through late 2023 and early 2024, Bangladesh Bank moved toward a "managed floating" regime — officially still intervening, but allowing the market to discover the rate. The chart shows a series of further moves: 110 to 117 (August 2023), then a sharp leg down to 120 in early 2024 as reserves briefly dipped below $19 billion. A crawling-band system was introduced, but the market repeatedly tested the upper bound, and Bangladesh Bank spent Dollars defending the Taka — depleting reserves further in a vicious cycle.

Phase 5: The post-Hasina reform moment (2024 onward)

August 5, 2024 marked a turning point: Prime Minister Sheikh Hasina resigned and fled to India after mass protests, ending her 15-year rule. The interim government led by Nobel laureate Muhammad Yunus took office with a mandate to stabilize the economy, recover stolen assets, and re-engage with the IMF. By late 2024, USD/BDT had moved to roughly 120 in the official rate — though a "parallel market" rate (used in informal hundi networks) reportedly reached 125-130 during peak crisis. The new government's commitment to a market-determined rate has narrowed the gap between official and parallel rates, which is itself a key sign of stabilization.

What drives the Taka: the four structural forces

Beyond the news cycle, four structural forces determine where USD/BDT goes next:

1. Garment exports ($47 billion/year)

Bangladesh's garment sector is the country's economic engine — accounting for roughly 84% of total exports and over 10% of GDP. With $47 billion in annual garment exports (mostly to the US, EU, UK, and Canada), Bangladesh earns Dollars that flow back into the central bank's reserves. When global apparel demand is strong (post-COVID recovery, holiday-season booms), BDT strengthens. When apparel demand weakens (recession in the Eurozone, US tariff threats, China competition), BDT weakens. The chart above correlates closely with the BGMEA (Bangladesh Garment Manufacturers and Exporters Association) monthly export data — track BGMEA for leading signals.

Garment exporters actually BENEFIT from a weaker Taka, because their Dollar earnings convert to more Taka for the same Dollar revenue. This creates a constant policy tension: exporters want a weaker Taka for competitiveness; importers (oil, food, machinery) and consumers want a stronger Taka for affordability. Bangladesh Bank has historically favored exporters, which is one reason the long-term trend has been depreciation.

2. Remittances ($22 billion/year)

Bangladesh is the world's 8th-largest recipient of remittances, with around $22 billion flowing in annually from the 13 million Bangladeshis working abroad. The top sources are Saudi Arabia ($5-6B/year), UAE ($4B), Oman, Kuwait, Qatar, Malaysia, the UK, the US, and Canada. These remittances are Dollar-earning inflows that structurally support the Taka — but during the 2022-2024 crisis, a significant portion shifted to informal hundi channels (because the official rate was artificially low and expats got more Taka per Dollar in the parallel market). The Yunus government's effort to align official and parallel rates is partly aimed at bringing this money back through formal banking channels.

3. Oil and commodity imports ($25 billion/year)

Bangladesh imports roughly 35% of its energy (oil, LNG, coal), and its oil import bill alone is $7-8 billion/year. Every $10/barrel rise in Brent crude adds roughly $700 million to the import bill — Dollars that flow out and pressure the Taka. The 2022 oil spike (Brent to $130) was a major contributor to the balance-of-payments crisis. The country also imports wheat, edible oil, cotton, and machinery — all Dollar-denominated. When commodity prices spike globally, BDT weakens. When they normalize, BDT strengthens.

4. Foreign reserves (the buffer)

Bangladesh Bank's reserves are the country's defense against currency shocks. The trajectory tells the story: $48B (Aug 2021) → $42B (end-2022) → $32B (mid-2023) → $19B (early 2024 low) → $25B (early 2026). The IMF program target is to rebuild reserves to $40 billion by end-2026. The BDT chart above is essentially a mirror of this reserve trajectory — when reserves fall, BDT weakens; when reserves rebuild, BDT stabilizes. Watch the weekly reserve report from Bangladesh Bank (released every Thursday) as the single most important leading indicator.

The 1-year trend: what it reveals

Zoom into the 1-year view on the chart above and you'll see a pattern that tells you the crisis phase is ending:

• Volatility has dropped: In 2023 and early 2024, daily moves of 0.5-1.0% were common. In late 2024 and 2025, daily moves have shrunk to 0.1-0.3%, indicating that the market is finding an equilibrium level rather than continuously repricing the currency.
• The official-parallel gap has narrowed: At the peak of the crisis, the gap between official (110) and parallel (130) rates was 18%. Today, the gap is closer to 3-5%. This is the single best sign of normalization — and means remittances are flowing back through formal channels.
• Reserves are rebuilding: From the $19B low to $25B+, reserves are up roughly 30% from the trough. Still well below the $40B target, but the trajectory is positive.
• The trend is flattening: Instead of the relentless step-downs of 2022-2024, the chart is showing sideways consolidation in the 117-122 range. This is consistent with a managed float that has found a temporary equilibrium.

None of this means the Taka is about to strengthen. The IMF program requires further managed depreciation to keep exports competitive, and the long-term structural trend is still downward. But the violent repricing of 2022-2024 appears to be largely complete.

If you're converting USD to BDT (or sending money home)

For Bangladeshi expats sending remittances

If you're a Bangladeshi expat in Saudi Arabia, UAE, or the US sending money home to family in Dhaka, Sylhet, or Chittagong, three things matter: (1) the rate your remittance provider offers (check against the live rate on this page), (2) whether the provider uses the official rate or a market-closer rate, and (3) the channel you choose. Formal channels (bKash, Nagad, bank wire) now offer rates within 0.5-1% of the official rate — much better than during the crisis. But informal hundi networks, while offering better rates during peak crisis, carry legal and security risks — especially as the Yunus government cracks down. For more on the live rate drivers, see our USD to BDT live rate guide.

For garment exporters and importers

If you run a garment factory in Bangladesh, the weaker Taka means your Dollar earnings convert to more Taka — but it also means your Dollar-denominated imports (fabric, dyes, machinery) cost more. The net effect depends on your import intensity. Bangladesh garment factories import roughly 60% of their raw materials (mostly from China), so a 10% Taka depreciation typically results in a 4-6% margin expansion (the Dollar revenue gain exceeds the Dollar cost gain). Forward contracts on USD/BDT are available through Bangladeshi banks and the major international banks operating in Dhaka — for any invoice over $100,000, hedging is standard practice.

For Bangladeshi students studying abroad

If you're a Bangladeshi student studying in the US, UK, Canada, or Australia, the Taka depreciation has made your education dramatically more expensive in Taka terms. A $30,000 US tuition bill that cost 24 lakh Taka in 2021 now costs 36 lakh Taka — a 50% increase in real cost. The Bangladesh Bank's LRS-equivalent (Annual Maintenance of Foreign Currency Account) allows up to $12,000/year in educational remittances at the official rate, but the application process is bureaucratic. For more, see our USD to BDT pair page for the live converter and historical chart.

What to watch next: leading indicators for BDT

Based on our tracking, here are the four indicators to watch over the next 6-12 months:

• Bangladesh Bank weekly reserves (every Thursday): The single most important number. Below $20B = alarm bells; above $30B = sustained recovery; $40B = IMF target met.
• Monthly BGMEA garment export data: A monthly proxy for Dollar inflows. Negative year-on-year for 2+ consecutive months = bearish for BDT.
• IMF program review results: Quarterly reviews determine whether the next tranche of the $4.7B EFF is disbursed. Failed reviews = BDT weakness; successful reviews = stability.
• Brent crude price: Below $80 = bullish for BDT (lower import bill); above $100 = bearish (renewed pressure on reserves).

The USD/BDT FAQ

What is the historical USD to BDT exchange rate trend?

USD/BDT moved from 70 in 2013, to 80 in 2017, to 84 in 2019, to 86 in 2021, then sharply to 110 by mid-2023 and to 120 by 2024 — a roughly 50% Taka depreciation in five years. The long-term trend has been steady depreciation, with the 2022-2024 period showing the fastest decline in modern Bangladesh history due to the reserve crisis and IMF program.

Why did the Taka collapse from 86 to 120 between 2022 and 2024?

Three factors: (1) the Russia-Ukraine war spiked Bangladesh's oil and commodity import bill, swinging the current account to deficit; (2) foreign reserves collapsed from $48 billion to $19 billion in 30 months as Bangladesh Bank defended the Taka; (3) the IMF Stand-By Arrangement in 2023 required a market-determined exchange rate, leading to step-devaluations. The August 2024 political transition further pressured reserves before stabilization began.

Will the Taka recover to 100 against the Dollar?

Unlikely in the medium term. The IMF program requires further managed depreciation to keep exports competitive, and Bangladesh's structural trade deficit (especially in energy imports) keeps pressure on the Taka. A return to 100 would require oil prices to collapse, garment exports to surge 30%, and reserves to rebuild to $50B+ — none of which is currently expected. The base case is consolidation in the 115-125 range through 2025-2026.

What's the difference between the official and "hundi" parallel rate for BDT?

The official rate (set by Bangladesh Bank, used in formal banking and remittance channels) was as much as 18% stronger than the unofficial hundi rate during the 2023 crisis. As the Yunus government moved to a market-determined rate in late 2024, the gap narrowed to 3-5%. Using formal channels is safer and now nearly as competitive — avoid hundi unless you fully understand the legal risks.

Track USD/BDT live and historically

Use the converter and chart at the top of this page to check the live rate and view historical trends across multiple timeframes. Whether you're a Bangladeshi expat in Toronto timing a remittance, a garment exporter in Chittagong hedging a Dollar invoice, or a development economist tracking South Asia's biggest currency story — the chart above updates in real time, and our historical view lets you compare today's rate against the last week, month, year, and decade. Bookmark this page and set a free rate alert for your target threshold. For the live rate analysis with deeper context on what drives each move, see our companion post on the USD to BDT live rate. And for the live converter with the current mid-market rate, our USD to BDT pair page is your fastest tool for any amount.