AmCham for digital payments in every sector

The American Chamber of Commerce in Bangladesh (AmCham) has urged the government to introduce digital payments in every sector and disincentivise cash payments to build a smart Bangladesh by 2041.

“Now we need a long-term policy to boost the confidence of investors. We believe digitisation will cut costs and make international trade more efficient, reliable, secure, sustainable, and less susceptible to illegal activity or fraud in Bangladesh’s international trade,” said AmCham President Syed Ershad Ahmed at a programme today (2 July).

The programme titled “Driving Financial Inclusion for Smart Bangladesh” was organised at a city hotel.

The AmCham president also stressed equal and available access to financial services as part of financial inclusion, mentioning that the Prime Minister has announced 100% cashless transactions by 2031 in the 8th Five-Year Plan.

He recommended the automation of taxation to generate more revenue, simplify customs procedures, create a more business-friendly environment, and reduce business costs.

“Logistics is a crucial component in the global business arena. Due to our higher logistics costs and longer lead times, we are lagging behind our competitor countries. Unfortunately, we lack adequate logistics infrastructure and policies,” he said.

“Policy implementation gaps are a common phenomenon; we have good policies but lack proper implementation. Delays in government regulatory decisions need to be overcome,” he added.

The AmCham president urged the government to modernise the economic zones across the country, ensure adequate utility and other logistics services encourage foreign direct investments (FDIs).

State Minister for Ministry of Finance Waseqa Ayesha Khan said at the event that to provide financial access for mass people 11,295 bank branches, 3,656 sub-branches, 21,613 agent outlets, 1.77 million MFS agent points, 25,336 MFI branches and 9,886 post offices are working throughout the country.

“Recognising the role of digital platforms, Fintech and usage of artificial intelligence, the Bangladesh Bank has given a full-fledged digital banking licence to Nagad and another one is in process,” she added.

She also informed that the Bangladesh Bank has been implementing the National Financial Inclusion Strategy (NFIS) 2021-2026 with a mission to bring 100% people under financial inclusion by 2026.

Financial inclusion is gaining momentum in Bangladesh as the number of deposit accounts, loan accounts and Mobile Financial Services (MFS) accounts are exhibiting an upward growth trend, she added.

She further said the government has changed a good number of policies, and some policies are also being reformed to attract more investments and boost the country’s economy.

“The government is prioritising the private sector for quicker development of the nations. The national budget for the fiscal year 2024-25 has already been passed which is different from the previous budget. The government focused to ensure ease of doing business,” she said.