Digital channels are becoming a preferred mode of transactions

Prime Bank PLC continues to invest in cutting edge technology to further intensify its virtual banking services as digital channels no longer an alternative option but becoming a preferred payment method.
As part of the greater objective set by Bangladesh Bank (BB) of converting Bangladesh into a cashless economy in coming years, the second generation commercial lender that begun its operation here in 1995 introduced a wide range of special offers and reward programmes to develop smarter financial habits among its cardholders.
In an interview with The Financial Express (FE), Prime Bank's Additional Managing Director (AMD) M. Nazeem A. Choudhury shared the lender's current and future plan of actions to lessen the dependency of physical currency ahead of this Eid season when financial transaction in the banking system goes up manifold.
Talking about the country's journey towards reaching a cashless economy, he said Bangladesh is moving rapidly toward a cashless economy and the change is becoming more visible every year. With the rapid expansion of digital banking services, mobile financial services (MFS), online shopping platforms and fintech innovations, people are now becoming more comfortable with digital transactions than ever before.
From paying utility bills to shopping online or transferring money instantly, he said, digital financial services are gradually becoming part of daily life for millions of Bangladeshis. One of the key developments supporting this transition is the introduction of Bangla QR by the central bank. This interoperable QR payment system has made digital transactions much easier for both customers and merchants. People can now make payments directly through smartphones without depending on cash, while businesses can receive payments quickly and securely, he added.
"The government's vision of building a cashless Bangladesh has also played an important role in accelerating financial digitalisation. The growing use of digital transactions is improving transparency, reducing the risks associated with carrying cash and making the overall financial system more efficient. Financial institutions are also contributing significantly to this transformation."
Prime Bank, for example, has launched several customer-focused digital banking services through its internet-banking platform "MyPrime". Customers can manage accounts, transfer money, pay bills, generate virtual card, access card-related services from anywhere at any time. Furthermore, with our sticker card TapIn, customer can make payment without carrying traditional debit card, he said.
"Such initiatives are helping people shift from traditional banking habits to modern digital banking practices. Combined efforts of the government, banks and fintech companies are creating a strong foundation for greater financial inclusion and sustainable economic growth in Bangladesh," the seasoned banker added.
About the current trends regarding the transition from cash to digital channels, he said Bangladesh, in recent years, has experienced a noticeable shift from cash-based transactions to digital payment channels. More people are now choosing cards, mobile banking apps and MFS platforms over carrying physical cash, especially during major shopping seasons like Eid.
Mr. Choudhury explained that during festive periods, crowded shopping malls and marketplaces often create security concerns for customers carrying large amounts of cash. Digital payment methods offer a safer and more convenient alternative. Customers can complete transactions quickly without the hassle of handling physical money.
Another important reason behind the growing popularity of digital payments is the additional benefits customers receive from banks and financial institutions which regularly offer cashback, discounts, reward points and installment facilities on card purchases, according to him.
The bank's additional managing director said these incentives encourage customers to use digital payment channels more frequently. Consumers now become increasingly aware of the convenience and financial advantages of digital transactions. As a result, digital channels are no longer viewed as just an alternative option. Instead, they are gradually becoming the preferred method of payment for many people during festive shopping and everyday transactions.
Responding to a question as to how the bank enhances value for its cardholders this Eid season, he said the bank has introduced a wide range of special offers and reward programs for its cardholders during this Eid season to make festive shopping more affordable and convenient.
He said Prime Bank customers are enjoying free home delivery services and up to 50 per cent discounts on meat processing fees at selected cattle farms. These offers are designed to reduce the stress and additional expenses associated with Eid-ul-Azha preparations. In addition, cardholders are receiving cashback rewards of up to BDT 10,000 and discounts of up to 35 per cent across various sectors, including electronics, lifestyle products, groceries, furniture and leading e-commerce platforms.
"These campaigns are helping customers save money while enjoying their Eid shopping experience," Mr Choudhury said.
Simultaneously, he said, the commercial lender has also collaborated with premium restaurants to offer exclusive buffet deals such as "Buy 1 Get up to 3." Through these partnerships, customers can enjoy quality dining experiences with family and friends at reduced costs during the festive season. Prime Bank is also working to reduce the overall cost of banking services. Recently, the bank launched "ZERO by Prime Bank," a Visa Signature Credit Card designed with minimal charges. The card does not include issuing fees, annual fees, MFS wallet transfer fees, over-limit fees, transaction alert fees, or EMI processing fees.
In collaboration with BB's cashless Bangladesh initiative, Prime Bank is participating in Digital Haat campaign this year to provide ATM, CRM, POS, digital account opening services. These customer-friendly initiatives reflect the bank's commitment to delivering greater value, convenience and flexibility to its clients, he said.
Explaining how Prime Bank has been trying to create smart spending habit among consumers, he said, digital banking services, reward-based campaigns as well as secure payment solution are helping customers develop smarter financial habits. When consumers use digital payment methods, they can monitor their spending more effectively through transaction histories, instant notifications and account statements.
"This visibility allows people to track where their money is being spent and facilitates them in making more informed financial decisions. Customers become more aware of their expenses, which ultimately encourages responsible spending habits. Riding on Cashback offers, discounts and reward facilities, consumers can buy quality products and services at lower prices, making their spending more efficient and economical," he said.
Compared to carrying cash, digital transactions are safer and less vulnerable to theft or loss. Customers can complete transactions conveniently while maintaining better financial control, he said.
"We believe that these initiatives are encouraging people to adopt a long-term digital-first mindset where spending becomes more thoughtful, secure, and financially beneficial," he said.
On the future of festival-linked spending, Mr. Choudhury said the future of such spending in Bangladesh will become increasingly digital, personalised and technology-driven. As digital banking services are continuing to improve, banks will be able to use advanced data analytics and artificial intelligence to better understand customer behavior and preferences.
This will allow financial institutions to design more customised offers and promotional campaigns tailored to individual customer needs. Customers may receive personalized discounts, spending recommendations and shopping benefits based on their purchasing patterns. Prime Bank remains committed to investing in innovation and strengthening its digital banking services. The bank aims to provide secure, seamless and rewarding payment experiences for not only customers but for institutional level as well, the experienced banker said.
"Recently we have launched Visa Co-branded Credit Card with Chittagong Port Authority. We believe that Bangladesh is growing digital ecosystem will continue to transform the country's financial habits and accelerate the journey toward a smarter, cashless economy," he added.
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