Bangladesh plans to launch digital bank in FY24

A committee working to broaden financial inclusion has formed an outline for the bank

Bangladesh hopes to launch a digital bank in the 2023-24 fiscal year, according to Finance Minister AHM Mustafa Kamal.

The project is part of a Bangladesh Bank committee’s push to create strategies to ‘broaden and accelerate financial inclusion’, the minister said in his budget speech on Thursday.

“In FY2023–24, we hope to be able to launch a digital bank. At the same time, we are developing a machine learning and artificial intelligence (AI)-based credit rating system.”

“With these," Kamal added, "it will be much easier to spot fake and anonymous borrowers and at the same time, it will be considerably simpler for genuine borrowers to obtain loans.”

The budget speech this year has been titled ‘Towards Smart Bangladesh Sustaining the Development Achievements in a Decade and a Half’.

In addition to targets for per capita income, poverty reduction, and other economic indicators, a ‘Smart Bangladesh’ will also have a 100 per cent digital economy.

“Healthcare will reach everyone's doorstep. All the services required by the citizens will be at their doorsteps, including automatic communication systems and sustainable urbanisation. A paperless and cashless society will be created. Most importantly, a society based on justice and equality will be established in Smart Bangladesh," Kamal said.