Wednesday
April 26
2017

MFS transaction limits taking toll on SMEs, e-commerce in Bangladesh

Several mobile financial service account holders are now using different SIM cards to do transactions, leading to an increase in the number of MFS accounts. An account holder can now make deposits and withdraw amounts twice in a day. Previously, the limit for cash-in was five and for cash-out it was five.

On January 11 this year, Bangladesh Bank issued an order to all mobile financial service providers to comply with the revised mobile banking transaction ceiling, citing abuse of the facility by a section of people. This limitation of the mobile financial service (MFS) transactions has now started taking a toll on users, especially SMEs and small e-commerce entrepreneurs.

According to the directive, a maximum of Tk15,000 can be deposited into an MFS account and Tk10,000 can be taken out each day. The previous daily ceiling was Tk25,000 both for cash-in and cash-out. An account holder can now make deposits and withdraw amounts twice in a day. Previously, the limit for cash-in was five and for cash-out it was five.

Each month, a mobile money customer can deposit a maximum of Tk1 lakh, down from Tk1.50 lakh earlier. The maximum monthly withdrawal limit is Tk50,000 through 10 transactions at most.

Source: Dhaka Tribune (link opens in a new window)

Categories
Technology
Tags
digital finance, financial services, microenterprise, mobile money