Dhaka, Apr 10 (IANS): Bangladesh's foreign exchange reserves reached $31.14 billion by the end of March, the lowest since December 2016, showed the latest central bank data.

Bangladesh Bank (BB) data showed the country's foreign exchange reserves stood at $31,142.72 million in March from $32,333.71 million in February, Xinhua news agency reported.

This is the lowest level of forex reserves Bangladesh has held since December 2016 when the country's foreign exchange reserves crossed the $32 billion mark for the first time, an official of the bank's Forex Reserve and Treasury Management Department said on condition of anonymity.

The official said that reserves slumped to a six-year low amid soaring import costs due to the Ukraine crisis that has dealt a major shock to commodity markets worldwide.

Forex reserves equivalent to six months' import bills are considered adequate for a growing economy like Bangladesh.

With the existing reserves, however, central bank officials said Bangladesh is in a position to pay around five months' import bills.

Bangladesh's foreign exchange reserves hit an all-time high of $48 billion in August 2021.

In a bid to boost shrinking forex reserves, the Bangladeshi government since last year has taken various measures, including relaxed rules, to woo more remittances from millions of Bangladeshi people living and working abroad.