Bangladesh Bank invites applications again for digital banking licence

Bangladesh Bank has invited eligible institutions to apply for digital bank licences, with applications to be accepted between Sept 1 and 30.

The announcement was made on Monday evening on the central bank’s official Facebook page.

Confirming the decision, spokesperson Arief Hossain Khan told bdnews24.com that even those who had applied in the earlier round must apply again.

A senior official, speaking on condition of anonymity, said the main policy change this time is an increase in the minimum paid-up capital requirement to Tk 3 billion, up from Tk 1.25 billion set in the initial guidelines.

In comparison, traditional banks in Bangladesh are required to have a minimum paid-up capital of Tk 5 billion.

Bangladesh Bank first cleared the way for digital banks in June 2023, when it approved a set of guidelines and invited applications.

A total of 52 proposals were submitted, of which nine were forwarded to the board after preliminary scrutiny.

In October 2023, nine institutions were granted initial approval to set up digital banks, including Nagad and ACI’s “Kori”, which received licences.