Banglalink gets BB licence to launch digital payment service Mukto Pay
With the new addition, the number of licenced companies operating as payment service providers in the country has risen to 10.
Banglalink has received a Payment Service Provider (PSP) licence from Bangladesh Bank, paving the way for the telecom operator to enter the country's digital payments market with its new service "Mukto Pay".
The licence was issued today (11 August), according to a press release from the leading digital operator.
With Mukto Pay, the number of licenced companies or brands operating as payment service providers in the country has risen to 10.
Keep updated, follow The Business Standard's Google news channel
The other nine are iPay Systems Ltd, D Money Bangladesh Ltd, Recursion FinTech Ltd, Green & Red Technologies Ltd, Progoti Systems Ltd, ABG Technologies Limited, Digital Payments Limited, Sheba Fintech Limited, and Shamadhan Services Limited.
Mukto Pay is a fully owned Banglalink service that will offer digital payment solutions, including money transfers, merchant and e-commerce payments, utility and government bill payments, salary and other disbursements, as well as other approved payment services.
Banglalink said the service is aimed at making everyday digital transactions simpler, more secure and accessible, particularly for individuals, micro-merchants, and small businesses that are unbanked or underserved by formal financial services.
It said Mukto Pay will leverage Banglalink's nationwide connectivity, customer reach and digital ecosystem to broaden access to digital financial services.
According to Banglalink, the PSP licence is part of the broader strategic vision of the company and its parent, VEON, to invest in and expand digital financial services in Bangladesh.
The milestone marks a significant step in Banglalink's expansion into digital financial services, supporting the transformation of Bangladesh's financial ecosystem, accelerating the country's transition towards a cashless society, and contributing to its ambition to become a $1 trillion economy by 2034.
The move also marks another step in Banglalink's transformation from a telecommunications company into a digital operator, extending its services beyond connectivity into digital and financial services.
Johan Buse, chief executive officer of Banglalink, said, "Bangladesh's journey towards building a cashless society and becoming a trillion-dollar economy will require greater financial inclusion and a digital ecosystem that enables more people to participate in the country's growth. Mukto Pay is an important step in that direction.
"By combining Banglalink's nationwide reach and deep understanding of local customers with VEON's global digital expertise, we aim to make digital payments simpler, more accessible and more relevant to people's everyday lives."
"This licence strengthens our ambition to invest further in digital financial services and contribute to building a more inclusive, cashless and digitally empowered Bangladesh, making a better life for all," he said.
Meanwhile, VEON is also pursuing opportunities in digital banking and has applied for a digital bank licence, according to the press release.
