‘Cashless economy must drive inclusion, not exclusion’

Staff Reporter :

A cashless economy should not evolve into an “incomeless economy,” but rather serve as a catalyst to create opportunities for those outside formal employment, said Debapriya Bhattacharya, distinguished fellow of the Centre for Policy Dialogue (CPD).

He made the remarks while delivering the keynote address at the Cashless Bangladesh Summit 2025, jointly organised by the Institute of Cost and Management Accountants of Bangladesh (ICMAB) and Mastercard at the Sonargaon Hotel on Wednesday.

Bhattacharya stressed the importance of a system-wide, integrated approach to digital transformation that addresses both technological and social barriers.

He proposed policy measures such as tax rebates, Merchant Discount Rate (MDR) waivers for small vendors, and targeted incentives for micro-merchants to encourage adoption of digital transactions.

He also highlighted the need to diversify Bangladesh’s payment ecosystem. Mobile financial services (MFS), he argued, should expand beyond cash-in/cash-out functions and be more widely accepted in roadside shops, informal sectors, and even for paying wages in the readymade garment industry.

Collaboration among banks, fintechs, telecom operators, and private institutions will be crucial to designing inclusive and accessible digital payment solutions, Bhattacharya noted.

Looking ahead, he identified Bangladesh Bank as the lead institution to regulate and ensure a secure, interoperable cashless ecosystem.

He also recommended forming a central taskforce to coordinate among stakeholders, foster innovation, and reduce cash-handling costs, currently estimated at Tk 20,000 crore annually.