Bangladesh Bank is set to impose strict limits on mobile financial services (MFS) and internet banking transactions ahead of the upcoming national parliamentary elections.
Under the proposed measures, platforms such as bKash, Rocket, and Nagad will see a significant reduction in transaction limits to prevent the misuse of funds during the polls.
According to authoritative sources within the central bank, the restrictions are expected to be in effect from February 8 to February 13. The move aims to curb the illegal flow of money used to influence voters.
The Bangladesh Financial Intelligence Unit (BFIU) has submitted a proposal to the central bank following a request from the Election Commission. While the final figures are subject to minor adjustments, the current plan includes:
· Single Transaction Limit: A maximum of Tk1,000 per transaction.
· Daily Transaction Limit: A total of Tk10,000 per day.
· Frequency: A maximum of 10 transactions per day.
Currently, MFS users can send up to Tk 50,000 daily and Tk300,000 monthly. The temporary restrictions represent a drastic reduction from these standard limits.
The central bank is also considering a temporary suspension of Person-to-Person (P2P) fund transfers via banking apps and internet banking platforms. Popular services such as BRAC Bank’s ‘Astha’, City Bank’s ‘Citytouch’, Islami Bank’s ‘Cellfin’, and Dutch-Bangla Bank’s ‘NexusPay’ may be impacted.
At present, individual customers can transfer up to Tk10 lakh daily through these apps. The BFIU has proposed halting these transfers entirely during the election period to maintain financial integrity.
In addition to digital restrictions, monitoring of physical cash movement has been intensified since January 11.
Cash Transaction Reports (CTR): Banks must report any single or multiple transactions totaling Tk10 lakh or more in a single day to the BFIU.
Reporting Frequency: These reports must now be submitted on a weekly basis.
Penalties: Failure to report or providing inaccurate data will lead to punitive action under the Money Laundering Prevention Act.
When asked about these measures at a recent press conference, Bangladesh Bank Governor Dr. Ahsan H. Mansur stated that the central bank would take action once formal instructions are received from the Election Commission.
"If necessary, Bangladesh Bank will issue a circular to inform all banks, financial institutions, and MFS providers regarding the implementation of these measures," said Dr. Mansur.
Central bank officials warned that if any abnormal transaction patterns are detected in CTRs, the respective banks must take immediate action, or they will face disciplinary measures from the regulator.
Bd-pratidin English/Lutful Hoque
