Staff Reporter :
Bangladesh is poised to join the emerging Cross-Border Interbank Payment System (CIPS), which facilitates international transactions in currencies other than the US dollar.
Waseqa Ayesha Khan, the state minister for finance, announced this on Monday.
She highlighted that CIPS, introduced by China, represents a significant addition to Bangladesh’s global payment infrastructure alongside the US-dominated SWIFT (Society for Worldwide Interbank Financial Telecommunications).
She made these remarks as the Chief Guest at a workshop on digitalizing international trade in Bangladesh, jointly organised by ICC Bangladesh and ICC DSI, at a city hotel.
Khan emphasised that traditional trade processes involve numerous paper documents and procedures.
The state minister further said, “Trade digitalization would reduce the time and cost associated with manual handling, courier services, and delays caused by lost or misplaced documents; digital records would be instantly and seamlessly transmitted, verified, accessed, and stored, leading to faster and more secure transactions.
This would reduce the administrative burden and eliminate errors and discrepancies caused by manual data entry.”
“Nevertheless, the country still needs to take some more steps to make the digital infrastructure sound, secure, and robust to facilitate the efficient settlement of international paperless trade,” said Waseqa.
The state minister said the government will undertake the necessary steps for the preparation of the required law in consultation with relevant ministries, trade bodies, and other stakeholders for the approval of the parliament.
In his speech, ICC Bangladesh President Mahbubur Rahman said, “By adopting the globally recognised digital standards promoted by the ICC DSI, Bangladesh can streamline its trade processes, reducing paperwork and manual interventions.
This efficiency can lead to faster processing times, lower costs, and reduced errors.”
“Also, by encouraging the use of innovative technologies such as blockchain and artificial intelligence, the ICC DSI can help Bangladesh stay at the forefront of technological advancements in trade.
This can lead to the development of new digital tools and platforms that further enhance trade efficiency,” added Mahbubur Rahman.
ICC Bangladesh Banking Commission Chairman Muhammad A. Ali, in his welcome address, said, “Trade digitalization could help reduce the incidences of data mismatches similar to the major incongruity in Bangladesh’s exports that has been identified recently.
Ensuring cyber security and data protection are two of the vital areas of safe digital international trade, he added.
Nearly 200 participants from different banks and other relevant organisations joined the workshop.
ICCB Secretary General Ataur Rahman moderated the opening session.
Ms. Pamela Mar, Managing Director, Digital Standard Initiative (DSI), International Chamber of Commerce (ICC), conducted the workshop.