Online shopping boosts e-commerce deals thru' cards

E-commerce transactions through cards in Bangladesh experienced a significant year-on-year rise in February 2025, highlighting consumers' increasing preference for online shopping.

According to Bangladesh Bank (BB) data, e-commerce transactions surged by 23.55 per cent in February 2025 compared to the same period last year.

This growth reflects a shift in consumer behaviour, with more people opting for online purchases due to convenience, competitive pricing, and time savings.

However, card-based online transactions saw an 11.74 per cent decline in February 2025 compared to January of the same year.

The BB data revealed that e-commerce transactions through cards reached Tk 20.35 billion in February 2025, up from Tk 15.55 billion in the same period of 2024.

In contrast, such transactions stood at Tk 23.05 billion in January 2025.

The highest recorded e-commerce transaction volume since December 2018 was in December 2024, at Tk 23.16 billion, followed by Tk 19.46 billion in November 2024, as per central bank figures.

In January 2024, total card-based online spending stood at over Tk 16.50 billion on various products and services.

According to the central bank data, consumers spent over Tk 18.68 billion in September, Tk 17.01 billion in August, Tk 14.48 billion in July, and Tk 16.88 billion in June through card-based online transactions.

Stakeholders were expecting further growth in both number and volume of transactions, especially considering the recent boom in the e-commerce industry following a string of scams.

Bangladesh has emerged as a promising market for global e-commerce giants due to its thriving online shopping community, large youthful population and widespread internet access.

A recent study has highlighted the country's potential for substantial growth in e-commerce transactions, attributing this trend to the unprecedented rise in internet usage.

The study based on a consistent 10-percent exponential growth in e-commerce transactions each quarter in recent years forecasts a promising future for the industry.

Additionally, the UNCTAD B2C (business to consumers) E-Commerce Index 2016 revealed that Bangladesh ranks among top 10 economies in terms of the difference between the predicted and actual share of internet users engaging in online purchases.

The statistics further underscore the country's position as a significant player in the global e-commerce landscape.

Chief Executive Officer (CEO) of bdjobs.com AKM Fahim Mashroor said 90 per cent of e-commerce is cash-on-delivery.

The recent hike in e-commerce through cards might be due to increased number of payment of utility bills like electricity and gas, and airfare. People prefer to pay domestic airfare through cards, said Mashroor.

A good number of people make their payment for hotel fare through card which may swell the transaction volume, he opined.

AKM Fahim Mashroor, Chief Executive Officer (CEO) of bdjobs.com, noted that around 90 per cent of e-commerce transactions in Bangladesh still rely on cash-on-delivery.

However, the recent surge in card-based e-commerce payments could be linked to increased digital transactions for utility bills, airfare, and hotel bookings.

Mashroor explained that many consumers now prefer paying for domestic airfare and hotel stays using cards, which may have contributed to the higher transaction volumes.

Additionally, payments for electricity, gas, and other utility bills through digital channels could also be driving this growth, he added.

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