Nagad Digital Bank gets BB approval

DHAKA, Bangladesh, Oct. 30, 2023 /PRNewswire/ — Nagad Digital Bank Ltd. has secured the much-awaited permission from the Bangladesh Bank (BB) to launch its operation, thus getting a shot in the arm to take digital financial transactions to a new high.

On 22 October 2023, the central bank gave its seal of approval to two out of 52 applicants to set up the country’s first-ever digital bank.

Later, on 25 October, Bangladesh Bank Governor Abdur Rouf Talukdar handed over the approval letter to Tanvir A Mishuk, founder and managing director of Nagad Ltd., at the governor’s office.

At that time, Abdur Rouf Talukdar extended his heartfelt wishes for Nagad Digital Bank Ltd. and hoped for its continued success.

Among others, BB Deputy Governor Abu Farah Md. Nasser, BB Director (BRPD) Mohammad Shahriar Siddiqui, Additional Director (BRPD) Md Monirul Islam, and Executive Director of Nagad Ltd. Niaz Morshed Elite were present there.

Nagad, the world’s fastest-growing mobile financial service provider based in Bangladesh, has rapidly amassed a substantial customer base and claimed a notable market share through its innovative products and services.

With the trust of over 85 million customers, Nagad has spearheaded transformative advancements in mobile financial services, fostering healthy market competition to the benefit of consumers. Notably, this state-owned MFS operator also earned recognition from Prime Minister Sheikh Hasina for becoming the fastest-growing unicorn in the country.

Over the past three years, Nagad diligently pursued regulators for permission to introduce digital banking services in Bangladesh. With the green light from the Bangladesh Bank, Nagad Digital Bank Ltd. has already started its preparation to take banking services to people’s doorsteps. For example, it has developed AI-based credit rating system to assess its customers’ creditworthiness and loan them quickly.

Tanvir A Mishuk, founder and managing director of Nagad Ltd., said, “Today, we have received approval from the Bangladesh Bank to establish the country’s first digital bank. Nagad Digital Bank Ltd. aims to serve those who face challenges visiting traditional banks for various reasons. We will bring banking services to people’s fingertips. This exemplifies another facet of financial inclusion for our nation. We aspire to provide single-digit loans to individuals outside conventional business sectors without collateral requirements. Furthermore, alongside introducing small savings schemes, the digital bank will address the day-to-day needs of common people. This endeavour will pave the way for an even more accessible journey towards a Smart Bangladesh.”

Tanvir A Mishuk also emphasised that Nagad Digital Bank will promptly start its services on completion of all formalities and necessary preparations.

About Nagad Ltd (https://www.nagad.com.bd/)

Nagad Limited is one of the leading MFS operators in Bangladesh’s payment industry with 85 million registered customers and an average daily transaction of about USD 112 million. The digital payment platform, known as a successful public-private partnership between Bangladesh Postal Department and the private sector, was inaugurated in 2019 by Prime Minister Sheikh Hasina of the people’s republic of Bangladesh.

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SOURCE Nagad Limited