Money transfer across MFS, banks from next week

Users of Mobile Financial Services (MFS) are going to get the opportunity to transfer money from one MFS provider to another as Bangladesh Bank is going to launch the interoperability of all sorts of accounts from next Sunday.

Termed as Binimoy, the Interoperable Digital Transaction Platform (IDTP) will also enable people to transfer funds from their bank accounts to MFS, according to a circular from the central bank.

People who will avail the scope to transfer money across the accounts -- MFS and banks -- will have to pay maximum Tk 0.5 to transfer each Tk 100 to another account.

"We have fixed the maximum fee for the transfer of money from one MFS to another. If any MFS wants to charge more, it can," said a senior official of Bangladesh Bank.

The interoperability is going to start more than a decade after MFS was launched in Bangladesh. At present, 13 MFS operators are providing services to more than 18 crore account holders who are transferring nearly Tk 3,000 crore daily.

The government earlier took the initiative to make all accounts of banks, MFS and payment system providers (PSPs) interoperable to allow people to transfer funds effortlessly within the financial sector on a real-time basis and at lower costs.

As the IDTP establishes the interoperability among banks, MFS operators and PSPs, it will give a major boost to cashless transactions.

Following the start of Binimoy, people will not need to open accounts with every MFS operator to transfer money. One MFS or bank account will be enough as money can be moved across MFS platforms and banks.

"It is going to give huge freedom in payment. One can transfer funds or pay at any time to anyone," the central bank official said.

Initially, three MFS operators -- bKash, Rocket and mCash, and one wallet Tallykhata -- are expected to join the platform along with 10 banks, namely the state-run Sonali Bank, Islami Bank, Pubali Bank, BRAC Bank, City Bank, Mutual Trust Bank, Eastern Bank, UCBL, Al Arafah Islami Bank and Midland Bank, he added.