Money Exchange Rate Us Dollar To Bdt Taka
Money exchange rate is an important aspect of international trade and commerce. With globalization, it has become easier to conduct cross-border transactions, but the exchange rate can have a significant impact on the cost of doing business. In this article, we will discuss the exchange rate between the US dollar and the Bangladeshi Taka (BDT).
US Dollar
The US dollar is the most widely used currency in the world. It is the currency of the United States of America and is also used as a reserve currency by many other countries. The US dollar is abbreviated as USD and is represented by the symbol $. The US dollar is divided into 100 cents.
Bangladeshi Taka
The Bangladeshi Taka (BDT) is the currency of Bangladesh. It is abbreviated as Tk and is represented by the symbol ৳. The BDT is divided into 100 paisa. The central bank of Bangladesh is responsible for the issuance and management of the BDT.
Exchange Rate
The exchange rate between the US dollar and the Bangladeshi Taka is constantly changing. This is because exchange rates are determined by the supply and demand of currencies in the foreign exchange market. The exchange rate is the price at which one currency can be exchanged for another currency.
As of July 2021, the exchange rate between the US dollar and the Bangladeshi Taka is approximately 84.50 BDT for 1 USD. This means that if you want to exchange 1 US dollar, you will get approximately 84.50 BDT in return.
Factors Affecting Exchange Rate
There are several factors that can affect the exchange rate between the US dollar and the Bangladeshi Taka. These include:
- Interest rates: Higher interest rates in one country can attract foreign investment and increase demand for its currency, leading to an appreciation of the currency.
- Inflation: Higher inflation in one country can decrease the value of its currency compared to another country with lower inflation.
- Political stability: Countries with stable political environments are more attractive to foreign investors and may experience an increase in demand for their currency.
- Economic performance: Countries with strong economic performance may experience an increase in demand for their currency.
- International trade: Countries that export more than they import may experience an increase in demand for their currency.
Impact on International Trade
The exchange rate between the US dollar and the Bangladeshi Taka can have a significant impact on international trade between the two countries. A strong US dollar and a weak BDT can make Bangladeshi exports cheaper and more competitive in the US market. On the other hand, a strong BDT and a weak US dollar can make US exports more expensive in the Bangladeshi market.
Therefore, it is important for businesses engaged in international trade to closely monitor the exchange rate between the two currencies and take appropriate measures to manage currency risk.
Conclusion
The exchange rate between the US dollar and the Bangladeshi Taka is an important factor in international trade between the two countries. It is constantly changing and is affected by various factors such as interest rates, inflation, political stability, economic performance, and international trade. Businesses engaged in international trade should closely monitor the exchange rate and take appropriate measures to manage currency risk.