Welcome to Business Outlook
Related Articles
The Bangladesh Bank on Sunday raised the interbank daily online transaction limit, including a five-fold increase in the limit for institutional users, amid a growing use of internet-based transactions in recent times after the outbreak of the coronavirus.
A BB circular on raising the limit said that it came up with the extended limit as internet banking fund transfer has been gaining popularity gradually.
After the coronavirus pandemic, people have become more cautious and are trying to maintain physical distancing, even in their banking activities, an official of the central bank said.
He said that IBFT facilitated customers to execute their banking transactions from the safety of their homes and avoid the risk of physical contact, thus leading to an increase in internet-based transactions.
As per the BB circular, the daily transaction limit for institutional users was set at Tk 10 lakh executed through a maximum of 20 transactions while the highest limit for an individual transaction was set at Tk 2 lakh.
For individuals, the daily limit was set at Tk 5 lakh executed through a maximum of 10 transactions while the highest limit for an individual transaction was set at Tk 1 lakh each.
Earlier there was no separate limit for institutions and individual users. The highest daily IBFT limit for both institutions and individual users was Tk 2 lakh.
Under both criteria, a maximum of five transactions were allowed in a day with the highest limit for an individual transaction set at Tk 50,000.
IBFT is executed through the BB’s National Payment Switch Bangladesh. It also executes interbank ATM and point-of-sales transactions.
As per the available BB data, interbank internet banking, which is executed through BB’s NPSB, reached Tk 331 crore in May against Tk 211.73 crore in the previous month.
In January and February this year, IBFT stood at Tk 185.22 crore and Tk 195.13 crore.
At present, 24 banks facilitate interbank online transactions through the BB’s NPSB.
Internet banking, including intra-bank and interbank transactions, has soared to Tk 7,421.1 crore in June this year against Tk 5,531.7 crore in the previous month.
In anticipation that the coronavirus pandemic may prolong, many banks have started to strengthen their online transactions facilities while those who are yet to introduce the service have been working on launching the service as soon as possible.
