MFS transaction limit increased

The Bangladesh Bank has increased the transaction limits for mobile financial services (MFS) providers such as bKash and Rocket.

According to a central bank circular issued on Monday, it has lifted the limit on the number of daily transactions and from now on, transactions can be done as many times as a client wants in a day.

Earlier, for cash in, five transactions could be done daily and 25 transactions monthly and, for cash out, transactions could be done five times daily and 20 times monthly.

According to the new policy, the maximum limit on cash in through bank accounts and cards has been increased to Tk50,000 daily and Tk3 lakh monthly.

However, through an agent one can only do cash in of Tk30,000 daily as before, and Tk2 lakh monthly. The total monthly limit for sending and receiving money has been increased from Tk75,000 to Tk2 lakh.

According to the central bank, based on their risk analysis, MFS institutions can determine the transaction limits of customers without exceeding this limit.

The circular read, "At present, MFS is playing an important role in the overall payment system of the country. In the wake of the emergence of Covid-19, the scope of MFS and the scope of transactions, as well as the use of this medium to provide various incentives, education, financial assistance under the social safety net program, and other activities, has greatly increased."

At the same time, the use of MFS among low-income people has increased significantly. As such, there is a need to redefine the MFS Personal Account Transaction Limit in view of the growing demand for MFS and to encourage electronic payment.