Bangladesh Bank has ordered all banks and mobile financial service (MFS) providers to implement the interoperable “Bangla QR” at every merchant point by June 30. The directive aims to break the dominance of cash-in and cash-out transactions and accelerate the transition toward genuine cashless payments.
According to a circular issued by the Payment Systems Department on Wednesday, non-compliance may result in fines of up to Tk30 lakh and potential legal action against responsible officials. Enforcement will be overseen by magistrates from the Directorate of National Consumer Rights Protection.
Under Section 37(5) of the Payment and Settlement Services Act 2024, failure to comply can invite penalties of up to Tk30 lakh, imprisonment for up to three years, or both. A Bangladesh Bank official clarified that while the central bank can impose fines, prison sentences will be determined by the courts.
The regulator has mandated that all banks, MFS providers, payment service providers, and payment system operators replace their proprietary QR codes with the unified Bangla QR across all merchant points within the deadline.
These institutions are also required to ensure full technical interoperability and uninterrupted transactions on the unified platform.
The central bank will conduct regular monitoring to ensure QR codes are visibly displayed. Moreover, any merchant found facilitating cash-out activities instead of payments will have their Bangla QR revoked.
The interoperable QR-based system was originally introduced in 2023 to build a secure and cost-efficient digital payments ecosystem, allowing customers to pay using any bank or MFS app by scanning a single code.
The regulator has set a target for 75 per cent of total transactions to be cashless by 2027, and QR-based payments have now been made mandatory for both new and renewed trade licences.
Governor Md Mostaqur Rahman recently noted that enforcement would begin in July following a year of weak compliance.
He revealed that while daily MFS transactions stand at approximately Tk1,500 crore, only about Tk10 crore represents actual cashless payments, with the remainder dominated by cash-in and cash-out flows.
“We need to significantly raise genuine cashless transactions,” the Governor said, adding that wider adoption of the QR system could reduce currency printing costs and increase revenue, despite structural constraints.
