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RTGS at BB faces glitch

FE Report | February 12, 2018 00:00:00

Real Time Gross Settlement (RTGS) of the central bank has faced technical glitch for the last couple of days, bankers said.

"Payment instructions through RTGS are not executed properly mainly due to poor connectivity with the Bangladesh Bank (BB)," an executive of a leading private bank told the FE on Sunday night.

When contacted, a senior BB official said there was a technical glitch for upgradation work. Banks have been advised to use alternative channels so that payment is not disrupted.

Earlier on October 29, 2015, the central bank of Bangladesh formally launched the RTGS system aiming to facilitate business activities across the country.

Under the RTGS system, any member-banks can transfer minimum Tk 0.01 million to another bank instantly.

RTGS can be defined as the continuous (real-time) settlement of fund transfers individually on an order-by-order basis (without netting).

'Real time' means the processing of instructions at the time they are received rather than at some later time. 'Gross Settlement' means the settlement of funds individually without netting with other transactions.

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