Dhaka, March 16, 2026:
Bangladesh Bank has instructed banks and digital financial service providers to establish a ‘Cashless Bangladesh Unit’ at their respective head offices to promote digital transactions and reduce the use of physical cash across the country.
The directive was issued through a circular by the central bank’s Payment Systems Department on Monday (March 16).
According to the circular, the new unit must be formed by banks, Mobile Financial Service (MFS) providers, Payment Service Providers (PSP), and Payment System Operators (PSO). The initiative aims to expand digital payment facilities and ensure that the benefits of digital financial services reach customers at the grassroots level.
For banks, the unit will operate under the overall supervision of a Deputy Managing Director or an equivalent official responsible for payment system operations. In the case of MFS, PSP, and PSO companies, the unit will be supervised by an official directly one level below the Managing Director or CEO.
The circular further states that banks must appoint at least four officials, in addition to the unit head, to manage the unit. Meanwhile, MFS, PSP, and PSO institutions must assign at least two officials for the unit’s operations.
A Deputy General Manager or equivalent officer will serve as the focal point for banks to coordinate with Bangladesh Bank. For MFS, PSP, and PSO organizations, the focal point will be an officer two levels below the Managing Director. Assistant focal point officials will also be appointed to collect data, analyze information, and prepare reports.
Key Responsibilities of the Cashless Bangladesh Unit
The unit will be responsible for preparing and implementing targeted roadmaps to expand digital payments, including Bangla QR, POS transactions, online payments, and card-based payments.
Other responsibilities include accelerating merchant onboarding through the Bangla QR channel, monitoring customer registration and merchant onboarding through bank apps at branch levels, and reporting progress regularly.
The unit will also organize training programs to enhance the capabilities of institutional staff and conduct awareness campaigns, seminars, and promotional activities to increase public understanding of digital transactions, including Bangla QR.
In addition, the unit will coordinate activities related to customer protection in digital payments, complaint resolution, risk mitigation, and internal control mechanisms.
To build a comprehensive payment ecosystem, the unit will work on developing and implementing sector-based supply chain payment models.
Each institution will also be required to prepare a separate annual report outlining the progress of initiatives taken under the Cashless Bangladesh program. The report must be presented to the board of directors and submitted to Bangladesh Bank along with the meeting minutes by the last working day of March each year.
Furthermore, institutions will need to coordinate with relevant ministries, local administrations, city corporations, municipalities, business organizations, and other public and private stakeholders to implement the Cashless Bangladesh initiative.
The central bank has directed all banks, MFS, PSP, and PSO institutions to establish the Cashless Bangladesh Unit by March 31, 2026, and submit the unit’s details to the relevant department with a forwarding letter signed by the Managing Director or Chief Executive Officer.
