Drive for full interoperable payment system sans sops

After hiccups on journey for a cashless society, the regulator now signs deal with Gates Foundation for backbone installation to fully implement interoperable payment system.

Under the broader objective, the central bank signed a virtual agreement with the Gates Foundation to have its mojaloop open source software to install an inclusive instant payment system (IIPS) that brings affordable, connected digital financial services to anyone with access to a mobile phone.

Bangladesh Bank Governor Dr Ahsan H. Mansur disclosed the developments on full operation of the system by July 2027 while speaking as chief guest at an exchange-of-views meet with the stakeholders in implementing the IIPS at a city hotel on Monday.

He said they had attempted interoperable system that did not work very well because of various reasons and it need be replaced with something that is tasted globally and can be maintained domestically.

Hailing the support of the Gates Foundation for developing an interoperable payment ecosystem through its mojaloop open-source software, the central bank governor says the process should be completed by July 2027 bringing in all the stakeholders like banks, mobile financial services, microfinance institutions and payment-system operators in the IIPS.

He says the boarder objective is to move towards a cashless or less-cash society, and it will make the economy open, transparent and less corruption-prone while increasing the tax potential significantly.

"It's not an easy task but we've taken the challenge with the support from Gates Foundation," he says.

As part of the digital transformation move in the payment space, the governor also informs, the banking regulator will issue instructions to the MFIs or microfinance institutions very shortly, ordering them that any payment by the MFIs should be digital.

"We still have one and a half years in hand to fully implement it. So, now we have to exploit all the avenues available to us because payment- system potential is huge and largely untapped here."

Earlier on November 1st, 2025, the central bank introduced the much-talked-about interoperable payment system that allows instant transfers from mobile wallets, bank accounts, non-bank accounts, or institutional accounts directly into any other account. But most of the institutions have not joined in the system.

Among nine participating institutions, a leading MFS literally turned away from the platform on grounds of lack of preparedness.

Speaking at the event, managing director and chief executive officer of Mutual Trust Bank (MTB) PLC Syed Mahbubur Rahman said the country would be able to formalise informal economy, which will help vibrate the economy significantly.

"So, we need to handle this efficiently and smartly," he added.

Deputy Governor of BB Md. Zakir Hossain Chowdhury, chairman of Sonali Bank PLC Mohammad Muslim Chowdhury, director of inclusive financial system (IFS) of Gates Foundation Michael Wiegand, Bangladesh country lead of IFS of the Foundation Snigdha Ali and BB payment system director Md. Sharafat Ullah Khan, among others, also spoke at the event.

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