Twelve entities, including mobile operators, microfinance institutions, and large business groups, have applied to the Bangladesh Bank (BB) for licences to operate digital banks, officials said, as the country moves toward a cashless banking era.

Among the proposed names are British Bangla Digital Bank PLC, Digital Banking of Bhutan-DK, Amar Digital Bank-22MFI, 36 Digital Bank PLC, Boost-ROBI, Amar Bank, App Bank-Farmers, Nova Digital Bank-Banglalink and Square, Moitri Digital Bank PLC, Upokari Digital Bank, Munafa Islami Digital Bank-AKIJ, and bKash Digital Bank.

“We have received twelve applications for digital bank licences,” a senior BB official told the Financial Express, adding that the central bank’s relevant department will now assess the applicants’ technology readiness, cybersecurity measures, innovation capacity, and business plans.

After evaluation, a detailed report will be submitted to the BB governor for approval before the proposals go to the central bank’s board for final decision.

The central bank had earlier extended the submission deadline to November 2, following requests from interested firms.

The Bangladesh Bank approved the Guidelines on Digital Banks in 2023 to promote cashless transactions and digital financial inclusion, subsequently increasing the paid-up capital requirement from Tk 1.25 billion to Tk 3.0 billion.

Two entities — Nagad Digital Bank and Kori Digital Bank — had previously received preliminary approval but failed to comply with regulatory conditions within the stipulated timeframe.