Nagad becomes top VAT depositor for consecutive years

Mobile financial service (MFS) provider Nagad has become a top VAT depositor in only four years since its inception.

The National Board of Revenue (NBR) declared Nagad Limited as one of the top VAT-paying companies in the country for the fiscal year 2021-2022 in the service category, according to a press release.

In acknowledgment of Nagad's financial contribution to the national exchequer, the "Highest VAT Payers Award" will be handed over by Finance Minister A H M Mustafa Kamal to the MFS operator at a ceremony organised by the NBR on 10 December, marking the National VAT Day.

Like previous years, the revenue board will honour top nine VAT-paying companies at the national level for the last fiscal year in three categories – production, service, and business, said the release.

Since its launch by Prime Minister Sheikh Hasina, Nagad garnered over 8.5 crore customers and revolutionised the disbursements of social safety net allowances, education stipends, and even distributed cash aid to underprivileged families during the pandemic times, added the release.

Since its inception, Nagad spearheaded digitalisation in the country's financial sector, introducing groundbreaking initiatives, such as the digital Know Your Customer (KYC) process – a first in the country, eliminating paperwork for MFS account openings. Besides, the company's innovation in opening accounts via feature phones has also disrupted the digital financial services landscape, the release also said.

Mohammad Aminul Haque, executive director of Nagad Ltd, emphasised how simplified account opening has not only driven financial inclusion but also propelled the nation towards a cashless society. 

"The more customers use digital services, the easier their lives will be, with benefits of Digital Bangladesh reaching every home. The government's revenue generation will get a boost too," he said. 

Aminul Haque reiterated Nagad's commitment to enhancing customer experience with products and services tailored to their changing needs. 

The MFS provider is now actively working towards launching the country's first digital bank, aiming to elevate cashless transactions to the next level, he added