Dr Ahsan H Mansur Bangladesh Bank governor Dr Ahsan H Mansur on Thursday emphasised the need for more major players in the mobile financial service (MFS) sector to increase users and serve the unbanked population.
Addressing an event at a city hotel, he highlights that only one major player, bKash, is currently dominating the market.
Relying on a single large player limits the growth of the ecosystem, according to the governor.
"Nagad could be a good alternative, but it faces challenges like the lack of a proper licence," he cited.
While there are many players in the MFS market, according to Dr Mansur, only two are truly significant.
He acknowledged that the daily transaction volume of Tk 40 billion was notable but stressed that more needed to be done to expand the sector.
The central bank is now primarily focused on macro-economic issues and addressing challenges in the banking sector.
However, the governor noted that the government was committed to making Nagad stronger.
"We don't want to destroy it; rather we aim to make it solvent and stronger."
One of the barriers to growth, according to Dr Mansur, is the failure of interoperability between different platforms.
Additionally, he highlighted the need for reducing internet costs to encourage the use of smartphones, which would further drive financial inclusion.
Dr Mansur made these remarks while addressing a programme styled 'Stakeholder Consultation on Revitalising Financial Inclusion in Bangladesh' hosted by the Policy Research Institute (PRI) in collaboration with the Bill & Melinda Gates Foundation, and the Policy Advocacy Initiative.
PRI chairman Dr Zaidi Sattar moderated the event. PRI research director Dr Bazlul H Khondker made a welcome address at the event.
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