Saving for a better tomorrow Bangladesh’s evolving deposit landscape

In a country where economic uncertainties often challenge long-term planning, deposits have quietly become one of the most powerful tools shaping both personal security and national financial stability. Far beyond being just idle savings, they are now central to how banks build resilience, how citizens navigate inflation, and how the financial sector fuels inclusive growth. From rural homemakers to digital freelancers, deposit schemes in Bangladesh are evolving fast—combining technology, trust, and tailored solutions to reach more people than ever before.

"Effectively managing uncertainties and emergencies demonstrates resilience against financial shocks. Those who practise sound financial management are better prepared to meet future obligations and crises. Regular, planned deposits in banks contribute to greater stability and security," says Dr Muhammad Shahadat Hossain Siddiquee, Professor of Economics at the University of Dhaka.

According to data from Bangladesh Bank, deposits in the country's scheduled banks have continued to show a steady upward trend, reflecting sustained public trust in the banking sector despite ongoing economic headwinds. As of April 2025, total deposits stood at Tk. 18.20 trillion, marking an 8.21% year-on-year increase and a marginal monthly rise of 0.11%.

Notably, interest rates on deposits have risen compared to recent years. However, challenges such as persistent inflation and reduced public confidence continue to weigh on the broader financial system. Many households, facing growing living costs, have been forced to draw down savings rather than deposit new funds.

"Despite attractive deposit rates between 9% to 13%, high inflation and a lack of public confidence have limited stronger growth in some banks," explains Ahsan Zaman Chowdhury, Managing Director & CEO of Trust Bank.

In the wake of recent instability within parts of the banking sector, there has been a visible shift in depositor behaviour. Customers have increasingly transferred funds away from banks perceived as risky to institutions with stronger governance and financial health. For instance, in 2024, eleven banks reportedly lost a combined Tk. 23,700 crore in deposits, which were redirected to other more trusted banks.

"In the first half of 2025, we registered BDT 8,000 crore in deposit growth—a remarkable acceleration compared to BDT 3,000 crore during the same period in 2024. This momentum is not accidental; it results from three deliberate strategic pillars: trust, technology and brand equity," shares Mashrur Arefin, Managing Director & CEO of City Bank.

"While the industry recorded a 7.44% deposit growth in 2024, BRAC Bank achieved an impressive 34% increase—setting a significant benchmark," notes Tareq Refat Ullah Khan, Managing Director & CEO (Current Charge), BRAC Bank.

Banking insiders believe the sector is stabilising. Recent guidance from the central bank on improving governance and preventing financial misconduct has played a key role in rebuilding confidence.

"Inflation has remained elevated at around 9%, reducing people's capacity to save, and confidence has been undermined by past irregularities. However, central bank interventions have helped stabilise the situation. While growth remains below the 10–11% levels of late 2023, the trend is upward, indicating gradual recovery," says Sheikh Mohammad Maroof, Managing Director & CEO, Dhaka Bank.

Currently, most commercial banks—both local and foreign—offer a variety of deposit products. These include Fixed Deposits (FDs), Monthly Savings Schemes (MSS), Double/Triple Benefit Deposits, Pension and Retirement Schemes, Women's Savings Accounts, Islamic savings instruments, and Student Savings Accounts.

Photo: Prabir Das

"UCB offers a wide range of deposit schemes tailored to meet the diverse needs of our customer base—from individuals to SMEs, corporates, and NRBs. Our offerings are designed with flexibility, inclusiveness, and transparency in mind," says Mohammad Mamdudur Rashid, Managing Director & CEO of United Commercial Bank.

"Among our standout innovations is the e-FD, a fully digital Fixed Deposit Receipt available through our CBC Digital platform. This allows customers to open fixed deposits in minutes, with preferential interest rates and a seamless, paperless experience," adds Najith Meewanage, CEO of Commercial Bank of Ceylon, Bangladesh Operations.

Senior citizens, a particularly vulnerable demographic due to the limited scope of national safety net programmes, are being targeted through specialised deposit schemes under various DPS plans.

"Senior citizens aged 60 and above benefit from our Trust Seniors Account, Trust Seniors FDR, and Trust Seniors ECHO. In addition, we offer adult customers regular monthly deposit plans such as the Trust Smart Savers Scheme, Lakhopati Scheme, Trust Millionaire Scheme and Trust Kotipati Scheme," says Ahsan Zaman Chowdhury of Trust Bank.

Technological innovation remains a priority across the sector, as banks seek to enhance both convenience and security for depositors.

"We are investing heavily in automation and process optimisation. We want opening an account or updating information to be as effortless as ordering food online—fast, secure, and paperless," says Ali Reza Iftekhar, Managing Director of Eastern Bank.

EBL has also launched the EBL Freelancer Account, tailored for digital professionals, to capture a growing segment of tech-savvy depositors.

Islamic banks and Shariah-compliant divisions of conventional banks are likewise expanding their deposit portfolios. These include women-focused products and rural outreach schemes, essential components of the national financial inclusion strategy.

"Our recent offerings include the Al-Wadiah Current Plus Account, Mudaraba Savings Plus Deposit, and Mudaraba Youth Saver Account. These are designed for individuals, SMEs, and the youth—ensuring ease of access and encouraging disciplined saving," states Mohd. Rafat Ullah Khan, Managing Director (Current Charge), Al-Arafah Islami Bank.

"We provide Islamic Banking Deposits—Mudaraba savings and term deposits, fully compliant with Shariah principles—as well as products aimed at empowering women, such as Achol and the Senior Citizen Deposit Schemes," adds ANM Mahfuz, Managing Director (CC) of Bank Asia PLC.

"At BRAC Bank, our flagship Women Banking proposition, TARA, empowers and connects women across Bangladesh. TARA includes tailored financial and lifestyle products, including the TARA Homemaker Savings Account—specifically created for women outside the formal workforce," says Tareq Refat Ullah Khan.

"Prime Bank's Neera platform includes exclusive deposit schemes and insurance options to enhance financial inclusion. Under Hasanah Islami Banking, we offer Shariah-compliant savings, Mudaraba term deposits, and profit-sharing accounts," notes M. Nazeem A. Choudhury, Deputy Managing Director, Prime Bank PLC.

"Through targeted products and outreach via branches, sub-branches, and digital platforms, we aim to empower rural communities, freelancers, low-income groups, and remittance recipients," states M. Shamsul Arefin, Managing Director of NCC Bank.

Digital banking platforms are playing an increasingly central role. Apps that offer user-friendly interfaces, biometric authentication, and a full range of services are reshaping how customers engage with deposits.

"One cornerstone of our digital strategy is the IFIC Aamar App. It enables customers to access over 20 services from a single platform, secured through biometric authentication. The app reflects our commitment to accessibility, convenience, and innovation," says MD Mehmood Husain, Chairman of IFIC Bank.

Student deposit schemes are also on the rise, especially for those aspiring to study abroad or seeking financial independence during university years. At the same time, banks are tapping into the expatriate market by offering attractive savings schemes for NRBs.

"Youth engagement is promoted through PrimeAcademia's zero-fee Youth Accounts, while teachers enjoy preferential interest rates, insurance, and loan facilities. For educational institutions, we offer dedicated accounts for payroll and tuition collection. NRBs benefit from the NFCD, NRBPL, Home Loan and Prime Porijon Accounts—featuring income plans and remittance-linked savings," explains M. Nazeem A. Choudhury of Prime Bank.

Ultimately, the long-term health of the deposit ecosystem relies on sustained depositor confidence, underpinned by strong governance and sound regulatory oversight.

"Public trust is the foundation of a strong and resilient banking sector, and the government plays a central role in upholding that trust. There must be a robust regulatory framework with updated rules on liquidity, capital adequacy, and risk governance," asserts Md. Ahsan-uz Zaman, Managing Director & CEO of Midland Bank.

"Rigorous supervision and regularly updated policies are essential for maintaining sector stability. Moreover, expanding deposit insurance coverage would significantly bolster depositor confidence," concludes Dr Md Touhidul Alam Khan, Managing Director & CEO of NRBC Bank.