Department of Finance · University of Chittagong
Sector-Based Trends of
Information Systems
in Bangladesh
Banking Sector
| # | Name | Roll |
|---|---|---|
| 1 | Motiur Rahman Ahad | 2503031051 |
| 2 | Premlal Chakma | 2503031099 |
| 3 | Sumaiya Akter | 2503031071 |
| 4 | Md. Ebrahim Kholil | 2503031056 |
| 5 | Abdullah Al Labib | 2503031055 |
fully digital banking future?
Population
MFS Accounts
Smartphone Users
Bangladesh is undergoing a historic digital transformation — and the banking sector sits at its very heart.
Information Systems in Banking
What is an Information System?
An Information System (IS) is an integrated set of people, processes, and technology that collects, processes, stores, and distributes information to support decision-making and operations in banking.
- Automates routine banking operations
- Enables real-time data processing & reporting
- Connects branches, ATMs, apps & back-office
- Supports regulatory compliance & audit
How IS Connects Banking
Why IS Matters in Banking
Efficiency
Faster transactions, less paperwork, reduced operational costs by up to 40%
Real-Time Services
24/7 account access, instant fund transfers, live balance updates
Decision Making
Data-driven credit scoring, risk analysis, and customer behaviour insights
Security
Fraud detection, encrypted transactions, biometric authentication
Without IS, modern banking cannot function. It is the invisible backbone connecting customers, branches, and regulators — ensuring every transaction is accurate, secure, and instant.
Digital Banking & Mobile Financial Services
Bangladesh Digital Banking Overview
- Bangladesh Bank has mandated digital transformation across all scheduled banks
- Agent banking expanded to 18,000+ rural touchpoints (2024)
- MFS users crossed 200 million registered accounts
- Government G2P payments (stipends, subsidies) now processed via MFS
- 60% of transactions are now cashless in urban areas
Key Milestones
bKash launched — beginning of MFS era
Agent banking officially rolled out nationwide
Nagad launched — first postal-backed MFS
Tk 17.37 lakh crore transacted via MFS
Bangladesh's Leading MFS Platforms
bKash
Registered Users
- Market leader since 2011
- Dutch-Bangla Bank & Ant Group backed
- Available in 64 districts
- Merchant & utility payments
Nagad
Registered Users
- Fastest growing platform
- Bangladesh Post Office backed
- E-KYC digital onboarding
- Government social payment partner
Rocket
Registered Users
- Dutch-Bangla Bank MFS arm
- Pioneers of ATM-linked MFS
- Strong rural penetration
- Garment workers' salary disbursement
MFS Transaction Volume Growth
Annual MFS Transaction Value (Tk Lakh Crore)
Key Statistics
YoY Growth Rate
Projected 2026 (Lakh Cr)
- 2022: Tk 10.2 lakh crore transacted
- 2023: Tk 13.52 lakh crore — 32% jump
- 2024: Tk 17.37 lakh crore — record high
- P2P transfers dominate at 55% share
- Utility & merchant payments growing rapidly
Transaction Type Breakdown
What Bangladesh Transacts
Merchant payments are growing at 45% annually — the fastest-growing segment as QR code adoption rises.
Core Banking Systems & Automation
What is CBS?
A Core Banking System (CBS) is a centralized platform that manages all banking operations in real time — linking every branch, ATM, app, and digital channel to one unified database.
Banking Automation
- Loan Processing — Auto eligibility checks, scoring & disbursement
- SMS & Email Alerts — Instant notification for every transaction
- Interest Calculation — Auto daily/monthly computation
- EMI Scheduling — Automated repayment tracking
- Reconciliation — Real-time end-of-day balancing
- KYC Automation — Digital verification with NID database
CBS Benefits & SWOT Analysis
Key Benefits
- Real-time transaction processing across all branches simultaneously
- Faster customer onboarding — from days to minutes with e-KYC
- Improved regulatory compliance & automated reporting to Bangladesh Bank
- Reduced operational errors through automation
SWOT Analysis
Centralized control, speed, data consistency across all channels
High implementation cost, complex migration, training needs
Rural branch integration, API banking, digital loan expansion
Cyber threats, system failure risk, outdated legacy systems
Mobile Apps & Internet Banking
Rise of Digital Banking Apps
Internet Banking Users 2024
App Download Growth Since 2021
- 45% smartphone penetration driving adoption
- 4G internet expansion to rural Bangladesh
- Zero-fee digital transactions incentivizing switch
- Bangladesh Bank promoting paperless banking policy
Leading Banking Apps
Features & Impact of Mobile Banking
Core App Features
Fund Transfer
Instant inter & intra-bank transfers 24/7
Bill Payments
Utility, telecom, education fees
Account Mgmt
Statements, FD, DPS management
Digital Loans
Instant nano-loans without branch visit
Impact on Bangladesh Banking
- Branch Dependency ↓ 40% — Customers resolve most needs via app
- 24/7 Banking — No more working hours limitation
- Customer Satisfaction ↑ — NPS scores rising for digital-first banks
- Cost per Transaction ↓ — Digital is 90% cheaper than branch
- Financial Inclusion — Unbanked rural population now accessible
Bangladesh's young population (avg. age 28) is naturally embracing digital-first banking solutions.
Cybersecurity & Data Management
Security Technologies Used
Challenges in Bangladesh
- Bangladesh Bank cyber heist (2016) — $81M stolen via SWIFT
- Digital fraud cases rising 35% annually
- Low customer awareness on phishing & social engineering
- Shortage of certified cybersecurity professionals
- Weak infrastructure in rural & semi-urban banks
Solutions & Path Forward
Future of Banking in Bangladesh
AI in Banking
ML-based risk, chatbots & robo-advisors
Big Data Analytics
Customer insight, product personalization
Open Banking
API-first ecosystem for fintech innovation
CBDC & DeFi
Bangladesh Bank digital currency exploration
and Bangladesh is Rising."
What We Covered
- IS has transformed Bangladesh banking from manual to digital-first
- MFS platforms now serve 200M+ users with trillions in transactions
- CBS automation drives real-time, error-free banking operations
- Mobile apps reduced branch dependency by over 40%
Key Takeaways
- Cybersecurity remains the critical challenge that must be solved
- Bangladesh stands at the threshold of a fully digital financial ecosystem
- AI, open banking & CBDC will define the next decade
- Financial inclusion is no longer a goal — it is becoming reality
Kind Attention
"Digital banking is not the future — it is the present of Bangladesh. The question is not whether to go digital, but how fast we can get there — together."
Presented by Group Riddle · Department of Finance · University of Chittagong · Session 2024–25
Open for Q&A · Feedback Welcome