Buy Tk1,000 for Tk1,160

As the country ramps up for Eid, currency note traders have sprung up all over Dhaka city. Even though open money markets are illegal government, the anticipation of the two Eids usually leads to a boom in business for money traders. On Wednesday, around a hundred such traders were seen in front of the Gulistan Shopping Complex alone, bargaining with customers over shiny new notes. Similar markets have also sprung up at Motijheel, Farmgate and Sadarghat. “The sale of new notes has increased remarkably around Eid, with individual traders often selling new notes worth around Tk1 lakh per day,” a seller told the Dhaka Tribune on the condition of anonymity. “During the rest of the year, sales are usually limited due to the availability of these services through commercial banks, but Eid is when our profits soar,” he added. Traders usually sit on pedestrian walkways, with the colorful notes on display. Customers often buy them at an extra cost to have tips on hand for children and relatives on Eid day. Each bundle of fresh notes (worth Tk1,000) of Tk5 is selling at Tk1,160, Tk10 at Tk1090, Tk20 at Tk1,050, Tk50 at Tk1,030, and Tk1,00 at Tk1,020. Abdul Jalil, a garments worker told the Dhaka Tribune: “Every year I come to Gulistan to buy new notes to give Eid tips to my nearest and dearest ones.” On the occasion of Eid this year, the Bangladesh Bank has released new notes worth Tk25,000 crore in the market through commercial banks, to be introduced into circulation. According to the Bangladesh Bank, this year a person will be allowed to collect notes of any denomination up to a total of Tk8,700 from any branch of 20 banks across the country. “During the Eid festivals, trading increases considerably, so new money is necessary. Besides, people have an extra attraction towards new currency notes during this time. Keeping this in mind, the Bangladesh Bank has issued Tk25,000 crore to be circulated in the market through 20 commercial banks,” Executive Director (Currency) Subhankar Saha said. “This year, the Bank has released fresh new notes worth Tk15,000 crore, while new notes worth Tk 10,000 crore have been issued to replace collected old notes,” he added. [caption id="attachment_69293" align="alignnone" width="800"] A currency trader seen arranging notes on his stall Mehedi Hasan/DHAKA TRIBUNE[/caption] However, many people in the city are reluctant to go to the banks to get new notes, or replace their old ones, because of time constraints and bureaucratic wrangle. At the open money markets, people mentioned that they did not want to deal with the hassle of queuing up at the banks. Mohammad Ali, a Dhaka based businessman who bought fresh notes worth Tk1 lakh from the pavement vendors at Gulistan told the Dhaka Tribune: “I bought them to have new notes on hand during Eid, since children love getting fresh notes as tips to go with their new dresses. The bank doesn't provide so much money in fresh notes to a single person, and it also takes a lot of time.” Traders were extremely reluctant to talk about their business. They reportedly collected the new notes by hiring people to line up at the central bank's note distribution counters all day long. “However, this only accounts for a small part of the money, while most of it comes through illegal means,” said a money trader who has been selling in Gulistan for the last six years. “The Bangladesh Bank officials are our primary source for these notes, and we do not even have to go to the bank since the officials bring them to us here,” he added. When asked about his involvement in this illegal business, he said: “Why obey the law when the authorities are corrupt in the country?” while adding that they had to deal with the relevant authorities to carry on their business. According to the people involved in the trade, a significant section of officials at the central bank and some other private banks had liaisons with the money vendors. When asked about the involvement of bank officials, Shubhankar Saha said: “We have heard of the involvement of some of the officials, and we take action if anyone is found guilty. However, the allegations are not entirely true.” He said that the bank authority had formed a surveillance team to observe whether officials or private banks are involved in the business. “A surveillance team has been formed to look for possible connections of Bangladesh Bank officers and employees, including private banks, with the trade. We also take action against the traders with our own security forces if they sit around the office premises,” Shubhankar said.