Banking recovery to cost Tk60,000cr a year

The government will need to allocate Tk60,000 crore annually from the national budget over the next five to eight years to recover from massive losses in the banking sector, Bangladesh Bank Governor Md Mostaqur Rahman said.

“When I took over as governor, one-third of the money had already been stolen,” he said, referring to the scale of financial losses in the banking sector.

He made the remarks at a Bangla QR promotional event organised by ONE Bank PLC in partnership with United International University (UIU) on the university campus in Dhaka on Saturday.

The governor said the money lost could have supported two crore families or financed the construction of two Padma bridges.

“Plunderers took the people’s money. It is not enough to call it theft; they plundered it. Legal action is also being taken against them,” he said. Mostaqur said the government had increased its revenue collection target for FY27 by Tk2 lakh crore from the previous target, adding that wider adoption of Bangla QR could help achieve the goal.

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Bangladesh’s tax-to-GDP ratio currently stands below 7%, but it could exceed 10% if Bangla QR is fully implemented nationwide, he said.

He attributed the low tax-to-GDP ratio partly to businesses failing to properly record their transactions, making it difficult for authorities to track economic activities and collect taxes.

Wider adoption of QR-based digital payments would bring more transactions into the formal financial system, improving transparency and revenue collection, he added.

Addressing concerns about the potential misuse of QR codes for suspicious transactions, the governor said similar activities could also occur through mobile financial services (MFS) and conventional banking channels.

However, Bangladesh Bank had mechanisms in place to detect suspicious transactions across these platforms, he said.

Responding to a student’s question about difficulties withdrawing money from ATMs and bank branches, Mostaqur said concerns had been raised over withdrawals from Sammilito Islami Bank, formed through the merger of several troubled banks. He said Bangladesh Bank had extended full support to the merged bank, enabling it to meet all customer withdrawal requests. National Bank would also be able to meet all customer withdrawal demands from 15 October, the governor added.

UIU launches cashless payment initiative

ONE Bank PLC, in partnership with UIU, launched Bangla QR payment services on the university campus to promote convenient and interoperable digital transactions among students and other members of the university community.

More than 400 students attended the event, alongside UIU Vice-Chancellor Md Abul Kashem Mia, ONE Bank Managing Director Muhit Rahman and senior officials from Bangladesh Bank and ONE Bank.

Under the initiative, students can use Bangla QR for selected payments on campus. Businesses also set up stalls to demonstrate QR-based transactions to students and guests. The initiative is part of Bangladesh Bank’s broader efforts to expand digital payments, promote financial inclusion and move towards a cashless economy.

ONE Bank Managing Director Muhit Rahman said digital transformation becomes meaningful when financial services are easier to access and use in everyday life. “Bringing Bangla QR to UIU gives students an opportunity to experience interoperable digital payments firsthand while building greater awareness of the possibilities of a digitally enabled financial ecosystem,” he said. He said the bank was pleased to partner with UIU in supporting Bangladesh Bank’s vision and encouraging young people to embrace digital payments.