Cashless transactions can curb corruption, cut business costs: Khosru

Finance Minister Amir Khosru Mahmud Chowdhury has said increasing cash-based transactions creates more opportunities for corruption and that expanding digital and cashless transactions can make the economy more transparent and reduce the cost of doing business.

Speaking at the "Launching of Dynamic Bangla QR for Universal Pension Scheme, powered by Trust Bank" programme at the Sheraton Dhaka today (8 September), he said digitalisation is crucial in the current economic context.

He said the BNP's election manifesto also prioritised the digital economy.

Reducing cash transactions and expanding digital payments will improve transparency and curb corruption, he added.

The minister also stressed making Bangla QR more effective, with interoperability among banks and mobile financial services key to wider adoption. "Without interoperability among different banks and mobile financial services, it will not be possible to ensure the full use of Bangla QR."

He said digital transactions will create records of economic activity, making tax collection and tracking easier, adding that such data could also support policymaking.

Referring to complaints from businesses, Khosru said some businesses and taxpayers currently face repeated tax pressure.

An effective trace-and-track system could bring greater transparency to tax administration and reduce undue pressure on taxpayers, he added.

QR-based digital transactions could play an important role in this regard, he stated.

The finance minister said expanding digital services will reduce the need to visit government offices, allowing people to access many government and financial services from home.

"Economic activities should be taken outside physical contact as much as possible," he said.

He said greater automation will reduce the cost of doing business, stressing the need to adopt digital technology across the economy, from ports to airports.

This will make Bangladeshi businesses and services more competitive in domestic and international markets, he added.

On artificial intelligence, Khosru said Bangladesh must build the capacity to use AI to remain competitive in the future economy.

Without the ability to apply AI across the economy and businesses, he said, Bangladesh will struggle to compete globally.

He said establishing a cashless economy will increase transaction transparency and strengthen tax collection, while automation and digitalisation will reduce business costs and make the economy more efficient and competitive.