What Is BDT (Bangladesh Taka)?
BDT is the currency abbreviation or currency symbol for the Bangladesh taka (BDT), the currency for Bangladesh. The Bangladesh taka is made up of 100 poisha and is often presented with the symbol ó, ò, or Tk.
The word "taka" originated from ancient denominations of silver coins called tanka.
Understanding BDT (Bangladesh Taka)
Large Bangladesh banknotes are controlled by the Bangladesh Bank, the central bank of Bangladesh, while the smaller denominations are the responsibility of the Ministry of Finance.
The Bangladesh taka was first seen in 1972 after Bangladesh won its independence in the Bangladesh Liberation War. It replaced the Pakistan rupee with an exchange of one for one. Between inception and 1987 there was reduction in value relative to the U.S. dollar. In 1974, in an attempt to offset this, the Bangladesh government started using the International Monetary Fund's compensatory financing facility. By 1987 the devaluation was relatively under control, however the drop in value of the Tk had been from about $0.129 in 1972 to $0.032 in 1987.
In 2011, the Bangladesh Bank introduced a 40 BDT note to commemorate the Victory Anniversary of Bangladesh. The notes featured the first prime minister and first president of Bangladesh Sheikh Mujibur Rahman.
History of BDT
Prior to independence, State Bank of Pakistan banknotes circulated throughout Bangladesh, and continued to be used for about three months until the official introduction of the BDT. During the war, it was an unofficial practice of some Bengali nationalists to protest Pakistani rule by stamping banknotes with "বাংলা দেশ" and "BANGLA DESH" as two words in either Bangla or English. These locally produced stamps are known to exist in several varieties, as are forgeries. On 8 June 1971, the Pakistani government declared that all banknotes bearing such stamps ceased to be legal tender.
Despite its plight against the U.S. dollar, its value has remained steady against the neighboring Indian Rupee (INR).