The volume of transactions through mobile financial services (MFS) is expected to exceed Tk 25 lakh crore this year, Bangladesh Bank Governor Ahsan H Mansur said yesterday.

He stated that current annual transactions through MFS amount to Tk 17 lakh crore, but this figure is likely to surpass Tk 25 lakh crore by the end of the year.

This means the transaction volume through MFS alone will be nearly three times the national budget, he added.

The governor made these remarks at an event titled "Transforming the Payment Landscape: An Era of Evolution", organised by the Bangladesh Bank at the Pan Pacific Sonargaon Dhaka.

At the event, it was announced that the central bank had launched an updated version of the Real-Time Gross Settlement (RTGS) system, which was first introduced in 2015.

The transaction volume through MFS alone will be nearly three times the national budget

The upgraded RTGS system allows transactions seven days a week and now includes new features such as transaction notifications for both parties, multi-currency transactions, and improved record-keeping.

Mansur highlighted that former Bangladesh Bank Governor Atiur Rahman had introduced the RTGS system, but it was not given due importance at the time.

However, over the years, it has proven to be crucial for financial transactions.

He further emphasised that digital payment systems have significantly benefited both consumers and businesses, leading to enhanced economic activities.

He noted that further improvements to the system would be required in the future, he added.

Md Khairul Anam, additional director of the Payment Systems Department at the Bangladesh Bank, said 84 percent of all banking transactions in Bangladesh are now conducted digitally.

Breaking down the figures, he mentioned that 56 percent of transactions occur through various digital platforms, while 28 percent take place via MFS, he said.

Among these digital transactions, 69 percent are processed through the RTGS system, and 11.92 percent via Electronic Fund Transfer, he added.

He further noted that the RTGS system currently supports transactions in seven currencies, including taka, US dollars, and British pounds.

As of now, 11,470 online bank branches are connected to the RTGS network, and the system processes 48,410 transactions daily, with an average daily transaction volume of Tk 22,977 crore, he added.

Arief Hossain Khan, executive director of the Bangladesh Bank, said the central bank took the initiative to upgrade the system to provide customers with the features of Next-Generation RTGS and completed the upgrade on 24 November 2024.

He said the new system enhances the user interface, enabling them to operate local and foreign currency individually, and provides a special window for government transactions and the option to operate the system round the clock and customer credit confirmation, which ensures the finality of the transaction without knocking the receiver.