Bangladesh Bank invites applications for country’s first-ever digital banks

Banking in Bangladesh is set for a digital leap, as Bangladesh Bank has called for applications to establish the country’s first-ever digital banks, promising faster and more accessible financial services.

The application window is open from September 1 to September 30, 2025, for receipt of such applications.

The central bank’s notice, signed by Md Bayezid Sarkar, General Manager of the Banking Regulation and Policy Department (BRPD), states that the licencing of digital banks comes in response to global shifts in the technology-driven financial sector.

The initiative aims to expand the reach and efficiency of financial services, particularly for small, cottage, and medium-sized enterprises (CMSMEs).

The central bank says digital banking will help harness the opportunities of the ‘Fourth Industrial Revolution,’ supporting sustainable economic growth and employment generation. It also views digital banks as a vital tool for simplifying credit flows, especially for marginalised communities.

Applicants must submit a non-refundable fee of Tk 500,000 via a bank draft or pay order in favour of Bangladesh Bank.

Applications, along with all required documents, can be submitted in person or via email. Detailed instructions are available on the Bangladesh Bank website.

Digital bank licences will be issued under the 1991 Bank Company Act, while payment services will be governed by the 2014 Bangladesh Payment and Settlement System Regulations.

According to the central bank's policy, a digital bank will have a head office but will not require physical branches, sub-branches, ATMs, CDMs, or CRMs.

All services will be app-based and accessible via mobile phones or other digital devices, meaning they will not offer over-the-counter (OTC) services.

The central bank previously established the digital bank policy on June 14, 2023. Under the initial policy, the minimum paid-up capital required to establish a digital bank was Tk 1.25 billion (Tk 125 crore). This amount has recently been increased to Tk 3 billion (Tk 300 crore).

Applications, along with all required documents, can be submitted in person or via email.