Digital banking in Bangladesh
Khondoker Hasnat Karim Pintu :
Digital banking all across the world excels in convenience: convenience in terms of easy access to bank by the clients, convenience of the banks in faster and smooth transactions, and fostering safety and security more than ever. Digital banking enables customers to banking whenever and wherever they want to access the mobile and online banking solutions. The mobile and online banking experience of the bankers offer key features that include, but are not limited to, security, financial flow control and giving customers benefits more than banking. With rapid advancement if information technology (IT) financial technology adapted by the banks has made the Digital Banking a common phenomenon both to the banks and their hundreds of thousands of customers.
The Forbes Advisor US consumer banking statistics study revealed that 78 per cent Americans prefer banking through mobile apps or website for banking in person. The global scourge of Covid 19 pandemic has brought the significance of digital banking to a new height. Traditional banking methods by branch, phone, or even ATM are not as appealing anymore. Many banks worldwide have, therefore, substantially reduced their branch activities. So it is no surprise that many retail banking customers have taken the advantage of digital banking under their finger tips. Due to convenience, utility and precious time saving options customers can access to their accounts from any location anytime and perform a wide range of banking activities including transactions, account balance, transfer of funds, paying bills and applying for loans.
As far as Bangladesh is concerned, the country is passing through the paradigm shift from LDC to middle income country and from analogue to “Digital Bangladesh” that looks to the foreseeable future of being a “Smart Bangladesh” given the optimum utilization of Information Technology. This makes the IT-driven banking and financial industry undergo Digital Banking as the demand of time. So naturally the largest banking institution of the country, Islami Bank Bangladesh Ltd, leaves no stone unturned in making major headways towards getting digital. IBBL keeps encouraging its customers to gradually elevate to a cashless society through optimum application of IT-driven financial technologies. Most of the mobile phone users have wide options of digital transactions right from individual retail customers to MNCs, corporate entities, multi-stake and multi-tasking organizations and large business houses.
The banking services of Islami Bank has already been made accessible to remittance clients apart from the multitude of local customers, enabling it to lead the banking industry towards a cashless digital banking sector at par with the journey to achieve the target of “Smart Bangladesh.” With this vision as the key to the inspiration it would not be far away to catch hold of the steering for the drive of “Sonar Bangla,” rising to a trillion dollar economy. Already five million customers of Islami Bank are within the potential digital transaction options at home and abroad. This has substantially lessened the transaction costs of the customers and at the same time taking the best use of saving precious time in transaction through various apps and QR Codes. Initially customers might face a little time to get themselves accustomed in using those digital tools. But once becoming used to, these digital benefits will have substantial bearing upon customer advantage at par with the world.
(Hasnat Karim writes on banking).
