Determinants

Of
Money Supply
In Bangladesh
 Determinants of Money Supply in Bangladesh

Course: F-309 (Monetary Economics)

Prepared for
Mohammad Saifuddin Khan
Associate Professor
Department of Finance
University of Dhaka

Prepared by
Group-1

Sl. No. Name ID Signature Remarks

1. Ummay Saima Nusrat 24-006

2. Saif Ibn Razzak 24-037

3. Rabeya Khatun 24-125

4. Steve Fabian Bairagee 24-174

5. Sartaz aziz 24-187

Section: C
24th Batch
Department of Finance
University of Dhaka

Date of Submission: 30th May, 2021

30th May, 2021

Mohammad Saifuddin Khan

Associate Professor
Department of Finance
University of Dhaka.

Subject: Submission of report on Determinants of Money Supply in Bangladesh. Sir,

With due respect, we want to say that it is our pleasure to get the chance to prepare and
submit this report to you. As assigned, we tried to identify the determinants of money supply
in Bangladesh. According to your instructions, we collected data of last few decades from
Bangladesh Bank and analyzed those data to show the correlation with our identified
determinants, thus completed the report. As we were working on this report, it has provided
us with the opportunity to refresh our knowledge, look into practical influence of factors on
money supply.

Thank you for assigning us to work on such report. We express our gratitude for your
valuable guidance and instructions throughout the course which helped us to complete this
report, helping us to acquire great experience and knowledge over various aspects of
monetary economics, money supply and related factors.

Sincerely,

Steve Fabian Bairagee

On behalf of Group-1
Section: C
24th Batch
Department of Finance.
 Contents

Introduction.................................................................................................................1

Literature review.........................................................................................................1

Objective of the Study................................................................................................2

Data and Methodology...............................................................................................3

Empirical Analysis......................................................................................................4

Conclusion................................................................................................................12

Appendix....................................................................................................................13

.
 Introduction

Bangladesh has recently transitioned from lower developing country status to developing country. But
still the financial system of Bangladesh is quite primitive. Lack of strong capital market and
derivatives and bonds, makes it harder for Bangladesh to smoothen its economic activity and
efficiency. But Bangladesh has seen a rise in the number of Banks in the recent years. It is also an
important characteristic for Bangladesh’s economy that her banking system is not independent from
government influence. So, in Bangladesh government decisions and policies very much determine
many factors of the economy including money supply- topic of our report.

Literature review

Money supply determines many key elements of the economy like inflation, interest rate, GDP etc.
Thus, it is absolutely important to investigate into the factors that determine money supply in an
economy. Several indicators generally are used in economics as measures of money supply such as
M1 or M2. M1 is a measurement of narrow money supply, which includes currency outside banks
plus demand deposit. M2 is the broad money supply which includes currency outside banks plus
demand deposit plus saving deposit. Though both M1 and M2 significantly influence high powered
money or monetary base, in this report we have used M2 for the measurement of money supply.

Bangladesh Bank- Central Bank of Bangladesh, affects money supply through open market operation
buying and selling bonds and financial securities and monetary policies- setting required reserve
requirement, excess reserve requirement, bank rates, and discount rates.
These are the determinants of money supply if we consider monetary policy, but there can be n
number of factors that determine money supply from unemployment to GDP growth. So whatever
determinant we assume for our research purpose won’t be exhaustive.

As high-powered money is the base for expansion of bank deposits and money supply, we have taken
high powered money or monetary base for our research purpose. Monetary base is the sum of total
amount of commercial bank reserves and currency (notes and coins) held by the public. High powered
money positively correlates and influence money supply in an economy as we will see later with data.

The equation that states money supply is,

MS = C + RR + ER

Here,
C is the Currency in circulation or money (notes and coins) held by public RR is
the Required Reserves
ER is the Excess Reserve

1
C constitutes currency held by the public, and RR and ER together constitute the reserve held by
banks.

According to the economic theory, monetary base should positively correlates with money supply and
required reserve ratio and excess reserve ratio should negatively correlates with money supply, as
required reserve ratio and excess reserve ratio limits the banks’ ability to roll out more loans thus
increasing money supply in the economy.

Required reserve ratio (rr) is basically set by the government as a major part of monetary policy.
Government can change rr to curb inflation, nominal interest rate and other economic variables.
Excess reserve is the reserve that banks keep in excess after maintaining required reserve. Now the
excess reserve rate is set by banks for many reasons. If there is political turmoil or instability in the
economy, banks keep higher excess reserve to avoid any risk of default if many depositors demand
money at the same time propelled by panic. Banks can also keep higher excess reserve because there
is simply no profitable investment opportunities for banks or the interest rate for lending is much
lower for banks.

In this report, we have taken required reserve ratio (rr), excess reserve ratio (er) and money in
circulation C, as the determinants of money supply. We have taken one external variable, deposit with
commercial banks, to explain the discrepancies. So, it is also one of our determinants for money
supply.

Objective of the Study

The goal of this study is to identify and understand the relationship of the factors responsible for
changes in money supply in Bangladesh. The study has been done for the following objectives:

1. To determine the determinants of money supply.

2. To show the relation those determinants have with money supply.
3. To point out the discrepancies those relationships have.
4. To explain reasons for those discrepancies.
5. To conclude and give our final opinion.

2
 Data and Methodology

The biggest problem we faced during the research work was lack and incompetency of data. Finally,
we were able to gather data needed from Bangladesh Bank publications. We have been able to
manage data from 1993 so, the timeline of our data will be from 1993-1994 financial year to 2019-
2020 financial year. So, our study is based on 27 years of economic data.
For the better understanding of our analysis, we have classified the data into five-year periods keeping
first period of seven years, and have tried to analyze the overall trends of the variables over those five
year.
So, the periods of our study are 1994-2000, 2001-2005, 2006-2010, 2011-2015, and 2016-
2019.

Since Bangladesh hasn’t got enough time to build a strong information system, some parts of the data
might be inherently incompetent. Reader will use his/her discretion in those cases and we will address
those as well.

Firstly, we have graphically and statistically represented the data sets. We have used line function in
MS Excel to graphically analyze the data set. Then we have analyzed the overall trend of that period.
After that, we have tried to identify and explain the ways our assumed determinants have influenced
money supply in the economy.

For keeping our analysis free from the biasness absolute values may present, we have done our
analysis on the basis of percentage changes in the values of determinants and money supply from year
to year. For example, we have calculated growth in money supply, average growth or decline in
required reserve ratio for a particular period. Then, we have done our analysis on those percentage
values.

Finally, we have run regression on our overall data set to get an idea of the basic characteristic of the
data set. Among all the determinants, the change in excess reserve has the most standard deviation,
around 80%.

The source of all of our data is Bangladesh Bank Publications, Economic Trend series.

3
 Empirical Analysis

Multiple Regression Analysis

Regression Statistics

Multiple R 0.99998913
R Square 0.99997826
F-Test 252979.806

Variables Coefficients Standard Error t Stat

Constant 898.0920184 663.2055328 0.508302112
Required Reserves -0.018430617 0.116833063 1.168535965
Excess Reserves -0.219630757 0.131671679 0.130630673
Deposit 0.933942919 0.015319466 1.362669088
Currency Holding 0.920502184 0.082181586 0.026877662

R square: This explains the variation of the independent variables in the dependent variable. From
the derived analysis, we can see that the 3 independent variables (required reserve, excess reserve and
deposit) explain almost 99.99% of the dependent variable (money supply).

F value: This determines if the regression analysis is significant. F value in our analysis indicates
that it is significant for this model.

Coefficients: The money supply is the dependent variable and the other 4 variables are the
independent variables.

 Required reserve: From the analysis it can be derived that there is a negative relationship
between the required reserve and money supply. For every 1 BDT increase in required reserve,
the money supply is decreased by -0.01843 BDT.
 Excess reserve: There seems to be a negative relationship between the money supply and
excess reserve as well. For every 1 BDT increase in excess reserve, the money supply is decreased
by -0.2196 BDT.
 Deposit: Unlike the previous two independent variables, deposit seems to have a positive
relationship with the money supply. For every 1 BDT increase in the deposit results in a 0.9340
BDT increase in the money supply.
 Currency holding: This variable has a positive relationship with the money supply as well. For
every 1 BDT increase in the currency holding, the money supply is increased by 0.9205 BDT.

4
We have seen an overall relationship between money supply and required reserve, excess reserve,
currency in circulation and deposit rate. In some financial years, there were discrepancies but those
can be explained by the effects other determinants had.
Firstly, let’s see the overall picture of the relationship between the determinants and money supply
throughout the timeline.

Relationship between Changes in Determinants and Money Supply

3.5

2.5

1.5

0.5

0
1996-

1997-

1999-

2000-

2003-

2004-

2006-
1994-

1995-

1998-

2001-

2002-

2005-

2007-
-0.5
95

96

99

02

03

06

08
97

98

00

01

04

05

07
-1
Change in mm Change in rr Change in er
Change in c Change in d Change in M2

Fig-1: Relationship between Changes in Determinants and Money Supply

Here, we can see excess reserve was the most volatile determinant of the money supply as individual
banks control excess reserve according to their own targets. Change in required reserve was much less
volatile as central bank sets this rate as a tool of monetary policy. This ratio of required reserve is also
fairly stable, one reason can be that frequent and drastic change in required reserve may hamper the
normal pace of the economy.

From here we will start our study of one to one relation between each determinant and money supply.
We will justify our assumed variables as determinants of money supply by matching the relationship
they had with money supply over the years, with economic theory. We expect some discrepancy as in
real world there are n number of factors at play so the relationship might not be as linear as economic
theory dictates. In that case we will address those discrepancy and explain those by bringing the roles
other variables had on money supply at that time. For this reason, we will progress in our research on
a period basis, rather than determinant basis. In each period, we will explain the money supply by
analyzing the role of each determinant in determining money supply.

5
Before analyzing on a period basis, have a look at the overall relationship throughout the years between money
supply and each determinant.

Relation between Required Reserve (rr) and Money Supply (M2)

rr and M2
0.3
0.2
0.1
0
-0.1
-0.2
1997-

1999-

2000-

2003-

2006-

2008-
1994-

1995-

1996-

1998-

2001-

2002-

2004-

2005-

2007-
-0.3
95

98

00

01

04

07

09
96

97

99

02

03

05

06

08
-0.4

Change in M2 Change in rr

Correlation between rr and M2

1994-2000 -0.581968297
2001-2005 0.760824119
2006-2010 0.192117873
2011-2015 0.487212875
2016-2019 -0.516267234

We can see the overall effect of required reserve (rr) on money supply (M2). According to the
economic theory, increase in required reserve should cause a decline in the money supply, decrease in
required reserve should cause a rise in the money supply. We can see this effect for example, in the
financial year 1999-2000 there was a 16% dip in the change of required reserve accompanied by 18%
rise in the change of money supply. We can see these effects over and over again on different scales.
The intensity of the move of determinants differed from year to year because of the roles other
determinants played. Again, in some years there was a discrepancy in the relationship between rr and
M2, for instance, financial year 2004- 2005, where the there was a rise in the change of required
reserve of around 13%, but there was a positive change in money supply as well of around 16% which
clearly defies economic theories, but we also have to consider required reserve is not the only
determinant of money supply. There are n numbers of determinants the effect of which can sometimes
surpass the effects required reserve may have on money supply.

6
Relation between Excess Reserve (er) and Money Supply (M2)

er and M2
0.25
0.2
0.15
0.1
0.05
0
-0.05
-0.1
1997-

1998-

2001-

2002-

2005-

2006-
1994-

1995-

1996-

1999-

2000-

2003-

2004-

2007-

2008-
-0.15
95

98

99

02

03

06

07
96

97

00

01

04

05

08
Change in M2 Change in er

Correlation between er and M2

1994-2000 -0.151558265
2001-2005 -0.002742953
2006-2010 -0.367751569
2011-2015 -0.104999837
2016-2019 0.225542876

In the chart and table above, we can observe the effect of excess reserve (er) on money supply (M2).
The more money the household deposit in bank, the more reserves bank have, and the more money
banking system can create .So, If banks decide to hold less excess reserve and make more loans, the
amount of money supply will be increased. If banks decide to hold more of excess reserve and make
fewer loans, the amount of money supply will be decreased. The data we collected from 1994-2015,
these two determinants are negatively responding which clearly defines the economic theory. But
from 2016-2019, they are responding positively which can also be happened for other factors whose
who have more prominent effect on the determinants.

7
Relation between Deposit (d) and Money Supply (M2)

Deposit and M2
0.25
0.2
0.15
0.1
0.05
0
1996-

1998-

1999-

2001-

2003-

2005-

2006-

2008-
1994-

1995-

1997-

2000-

2002-

2004-

2007-
95

97

99

00

02

04

06

07
96

98

01

03

05

08
Change in M2 Change in Deposit

Correlation between d and M2

1994-2000 0.967133774
2001-2005 0.969463021
2006-2010 0.903909884
2011-2015 0.790411892
2016-2019 0.20050136

From analyzing the above graph, we can see the overall effect of deposit (d) and money supply (M2).
As we know that there is a negative relationship between deposit and money supply usually. When the
amount of deposit goes up, money supply goes down. When the amount of deposit goes down, money
supply goes up. But in real world, it always doesn’t work in the same way. Since from the data of
1994-2019, the determinants are behaving the way they shouldn’t according to the theory. Here, they
are responding positively which indicates when the amount of deposit is increasing, the money supply
is also increasing. This can happen as there are hundreds of factors for which money supply can be
increased.

8
 Periodical Analysis

In these three determinants we also see similar congruency and discrepancy from period to period like
we noticed in required reserve ratio. We will investigate and explain the reasons of these discrepancy
from period to period from here onwards.

1994-2000

This period starts with the financial year 1994-1995 and ends with the financial year 2000- 2001.

Average Average Average Change in Average Change

Change in M2 Change in rr Change in er
Change in M2 Change in rr Change in er Deposit in Deposit

0.133413948 0.006532104 -0.011417418 0.134078827

In this period, we see an overall rise in money supply caused by mild rise in required reserve ratio and
a decline in excess reserve and deposit. Though as reserve requirement increased the money supply
was supposed to fall, but it increased instead. This can be explained by the fall in excess reserve and
rise in deposit rate which offset the effect of required reserve by a bigger scale.

2001-2005

This period starts with the financial year 2001-2002 and ends with the financial year 2005- 2006.

Average Average Average Change in Average Change

Change in M2 Change in rr Change in er
Change in M2 Change in rr Change in er Deposit in Deposit

0.157124771 0.071151901 -0.012927358 0.156927656

In this period, we again see a rise in money supply by a bigger change than the previous year. Though
there was a substantial rise in required reserve ratio, and a mild fall in excess reserve ratio money
supply increased instead of falling. This can be explained by the fact that deposit rate increased which
propelled the money supply to grow and there was an overall increase in the currency holding as well.

Currency in Circulation (BDT in crore)

30000.0
25000.0
20000.0
15000.0
10000.0
5000.0
0.0
2001-02 2002-03 2003-04 2004-05 2005-06

9
2006-2010

This period starts with the financial year 2006-2007 and ends with the financial year 2010- 2011.

Average Average Average Change in Average Change

Change in M2 Change in rr Change in er
Change in M2 Change in rr Change in er Deposit in Deposit

0.195306631 0.037115602 0.002127862 0.194375708

Money supply rose by a bigger margin in this period. This can be explained by the fact that the
required reserve ratio increased by a very little margin compared to the previous year. And same thing
happened to excess reserve. On top of that, deposit rate substantially increased in this period. So,
these three movements in economic variables resulted in an overall rise in money supply.

2011-2015

This period starts with the financial year 2011-2012 and ends with the financial year 2015- 2016.

Average Average Average Change in Average Change

Change in M2 Change in rr Change in er
Change in M2 Change in rr Change in er Deposit in Deposit

0.157901434 0.039033201 -0.030523857 0.156858301

Money supply rose by a relatively smaller margin than the previous period. The reason is, in this
period, there was a positive change in required reserve, and excess reserve ratio also fell. And deposit
rate rose. The movement in excess reserve contradict the movement in money supply. To find further
explanation we can look at the rise in budget deficit in this period.

Budget Deficit of 5 Years

100,000
90,000
80,000
70,000
60,000
50,000
40,000
30,000
20,000
10,000
-
2011-122012-132013-142014-152015-16

Source: Bangladesh Bank (Dhaka Tribune News)

10
According to monetarist approach, rise in budget deficit give birth to the rise in money supply.
Because especially in developing countries government resort to printing money as they don’t have an
active bond market to raise the necessary fund, which is also the case in Bangladesh. And the financial
system of Bangladesh is not that developed and we are talking about a period that dates back to 10
years.

2016-2019

This period starts with the financial year 2016-17 and ends with the financial year 2019-20.

Average Average Average Change in Average Change

Change in M2 Change in rr Change in er
Change in M2 Change in rr Change in er Deposit in Deposit

0.106588498 -0.113031689 -0.028538571 0.105542788

During this period, money supply grew, and at the same time, required reserve ratio fell drastically
and excess reserve ratio fell as well. The rise in deposit rate is also quite significant. So, a fall in
required reserve and excess reserve and rise in deposit rate propelled money supply to rise.

11
 Conclusion

Many factors in the economy directly or indirectly determine the money supply of an economy. And
their total effects set the course of money supply. For the transparency of analysis, in this report we
have worked with the major variables for determining money supply- required reserve, excess reserve,
and deposit rate. For doing this we have considered powered money as the base of our analysis. In
some financial years, we have also looked into some other factors of economy like government deficit
and currency in circulation to explain the discrepancy. As we have already mentioned, economic
variables have a ripple effect and money supply is a result of this. For that reason, we couldn’t find
any linear relationship between money supply and excess and required reserve and deposit rate, but
we definitely noticed their strong impact in determining money supply. This indicates that these
factors are some of the major determinants of money supply in Bangladesh.

12
 Appendix

1. Changes in Determinants and Money Supply:

Required Excess
Money Change in Change in Change in Change in Currency Change in
Year Reserves Reserves Deposit
Supply M2 rr er d Ratio c
Ratio Ratio
1993-
36403.00 0.305124237 0.53819269 33936.5 1.061970753
94
1994-
42212.30 0.159583001 0.304219645 -0.002964667 0.26504694 -0.507524077 39071.1 0.151300222 1.086811908 0.02339156
95
1995-
45690.50 0.082397785 0.297119723 -0.023338145 0.15347392 -0.42095572 41863.3 0.071464586 1.076771036 -0.00923883
96
1996-
50627.30 0.108048719 0.319740793 0.07613453 0.22053633 0.436962909 46551.8 0.111995471 1.1135741 0.0341791
97
1997-
55869.00 0.103535049 0.351238494 0.09851011 0.25882977 0.173637786 51888.3 0.114635739 1.173415038 0.05373772
98
1998-
63026.70 0.128115771 0.360828234 0.027302644 0.30495866 0.178220975 59231.7 0.141523234 1.134383613 -0.0332631
99
1999-
74762.40 0.186202038 0.301732043 -0.163779286 0.29948585 -0.017946073 70201.6 0.185203194 1.160644184 0.02314964
00
2000-
87174.10 0.16601527 0.311948551 0.03385954 0.30094488 0.004871791 81604.4 0.162429346 1.180668133 0.01725244
01
2001-
98616.00 0.131253434 0.33066848 0.060009665 0.51265017 0.703468642 92006.3 0.127467391 1.194468349 0.01168848
02
2002-
113994.30 0.155941227 0.34227738 0.035107369 0.43684469 -0.147869798 106573.8 0.158331549 1.195994668 0.00127782
03
2003-
129721.70 0.137966547 0.339200416 -0.008989679 0.30819977 -0.294486622 121286.9 0.138055507 1.183047507 -0.01082543
04
2004-
151446.40 0.167471595 0.385836118 0.137487159 0.21879655 -0.290082051 142585.5 0.175605115 1.206410721 0.01974833
05
2005-
180674.20 0.192991052 0.436822428 0.132144991 0.31189082 0.425483251 168989.3 0.185178717 1.261124845 0.04535282
06
2006-
211504.20 0.170638641 0.426646137 -0.023296172 0.26914502 -0.137053729 196956.3 0.165495685 1.226953649 -0.02709581
07
2007-
248794.90 0.176311865 0.443112122 0.038594008 0.23179813 -0.138761224 231678.9 0.17629596 1.344333575 0.09566777
08
2008-
296499.90 0.191744284 0.46738346 0.054774711 0.52399782 1.26057831 278622.1 0.202621818 1.304671506 -0.02950315
09
2009-
363031.10 0.224388609 0.45028186 -0.036590086 0.11355728 -0.783286726 336845.7 0.208969784 1.212475193 -0.0706663
10
2010-
440520.00 0.213449757 0.518767726 0.15209555 0.08422524 -0.258301774 410444.9 0.218495293 1.258193331 0.03770645
11
2011-
517109.50 0.173861573 0.584226093 0.126180491 0.05545358 -0.341603731 490022.7 0.19388181 1.270975159 0.01015887
12
2012-
603505.40 0.167074672 0.623792129 0.067723843 0.03651844 -0.341459305 572890.5 0.169110125 1.352296969 0.06398379
13
2013-
700623.50 0.160923332 0.675990585 0.083679248 0.00779493 -0.786548242 662540.4 0.156486973 1.328559018 -0.0175538
14
2014-
787614.10 0.124161693 0.676173151 0.000270072 0.01236446 0.586219458 746300.2 0.126422177 1.356022143 0.02067136
15
2015-
916377.90 0.1634859 0.620261985 -0.082687646 0.05152505 3.167189381 849581 0.138390423 1.474003193 0.08700525
16
2016-
1016076.10 0.108795945 0.605016918 -0.024578432 0.10885222 1.112607603 942534.1 0.109410521 1.484663131 0.00723196
17
2017-
1109981.00 0.09241916 0.492161064 -0.186533386 0.1971508 0.811178456 1044094.7 0.107752706 1.368525603 -0.07822483
18
2018-
1219611.50 0.098767907 0.51593847 0.048312246 0.11794008 -0.401777303 1147315.3 0.098861339 1.441296961 0.05317501
19
2019-
1373735.00 0.12637098 0.366663445 -0.289327185 0.19237042 0.631086055 1269098.9 0.106146584 1.535427999 0.06530995
20

13
 2. All Data:

Money Required Excess Checkable Currency in Monetary

Year
Supply Reserve Reserve Deposit Circulation Base

1993-94 36403.00 1754.80 3095.20 5751.10 6107.50 10957.50

1994-95 42212.30 2012.20 1753.10 6614.30 7188.50 10953.80
1995-96 45690.50 2179.70 1125.90 7336.10 7899.30 11204.90
1996-97 50627.30 2427.60 1674.40 7592.40 8454.70 12556.70
1997-98 55869.00 2716.90 2002.10 7735.20 9076.60 13795.60
1998-99 63026.70 3089.70 2611.30 8562.80 9713.50 15414.50
1999-00 74762.40 2928.40 2906.60 9705.30 11264.40 17099.40
2000-01 87174.10 3390.60 3271.00 10869.10 12832.80 19494.40
2001-02 98616.00 3842.50 5957.20 11620.40 13880.20 23679.90
2002-03 113994.30 4390.70 5603.80 12827.90 15342.10 25336.60
2003-04 129721.70 4956.60 4503.60 14612.60 17287.40 26747.60
2004-05 151446.40 6501.30 3686.70 16849.90 20327.90 30515.90
2005-06 180674.20 8622.70 6156.60 19739.60 24894.10 39673.40
2006-07 211504.20 10010.19 6314.82 23462.50 28787.40 45112.40
2007-08 248794.90 11750.27 6146.73 26517.60 35648.50 53545.50
2008-09 296499.90 14132.04 15843.86 30236.50 39448.70 69424.60
2009-10 363031.10 18741.54 4726.46 41621.80 50465.40 81350.00
2010-11 440520.00 24955.94 4051.76 48106.20 60526.90 89534.60
2011-12 517109.50 29830.82 2831.48 51060.40 64896.50 97558.80
2012-13 603505.40 34767.99 2035.41 55736.50 75372.30 112175.70
2013-14 700623.50 43496.14 501.56 64344.30 85485.20 129482.90
2014-15 787614.10 48943.91 894.99 72383.70 98153.90 147992.80
2015-16 916377.90 55674.16 4624.84 89759.10 132305.20 192604.20
2016-17 1016076.10 61642.27 11090.43 101885.20 151265.20 223997.90
2017-18 1109981.00 55721.05 22320.84 113217.10 154940.50 232982.39
2018-19 1219611.50 60993.16 13942.63 118217.90 170387.10 245322.89
2019-20 1373735.00 49693.31 26071.66 135528.40 208094.10 283859.07

14
 Money Supply Data
1600000.00
1400000.00
1200000.00
1000000.00
800000.00
600000.00
400000.00
200000.00
0.00
1993-

1994-

1995-

1996-

1997-

1998-

1999-

2000-

2001-

2002-

2003-

2004-

2005-

2006-
96

98

00

02

04

06
94

95

97

99

01

03

05

07
Money Supply Required Reserve Excess Reserve
Checkabe Deposit Currency in Circulation Monetary Base

References

Bangladesh Bank:
https://www.bb.org.bd/econdata/index.php
https://www.bb.org.bd/pub/monthly/econtrds/jul11/econtrds.php#

15