Electronic Payment System via mobile banking platform
- 1. ELECTRONIC PAYMENT SYSTEM THROUGH MOBILE BANKING PLATFORM
- 2. CONTENTS 1. Introduction 2. Objectives with recent data 3. Why Electronic Payment System (EPS)? 4. Opportunities 5. Disadvantages or Threats 7. Guidelines 8. Conclusion 9. Questions and Answers
- 3. Source of the Title
- 4. Source of the Title(Cont.)
- 5. INTRODUCTION Banks and telecom operators urged the government to immediately create an integrated platform enabling them to access the national identity database for checking the authenticity of information. Mobile operators have to follow a similar process as banks when signing on new customers, so there is an urgent need to set up a common platform where the legitimacy of information, photograph, and national identity card (NID) can be varied.
- 6. OBJECTIVES The main objective of the roundtable is to create a new opportunity in support of the electronic payment system in Bangladesh through mobile banking, to reduce the transfer cost of money. M Manjur Mahmud, director and chief operating officer of DataSoft, stressed the need for reducing the cost of transferring money from one place to another. He said, “The cost of sending money from place A to B in the country is still expensive. For instance, in Latvia, cost of sending money is less than one paisa.”
- 7. RECENT STATISTICS 40 30 20 10 0 Unique Banking Accounts Debit cardholder Credit cardholder In Millions
- 8. WHY ELECTRONIC PAYMENT SYSTEM? Electronic Payment System(EPS) is a subset of an e-commerce transaction to include electronic payment for buying and selling goods or services offered through the Internet. Reduces the cost of transferring money Security & reliability Traceability & trustworthy Low financial risks and User friendly features.
- 9. OPPORTUNITIES The wider use of cash in-cash out Salary disbursement Utility bill payment through mobile banking platform. Cost of sending money through mobile banking is one of the lowest in the world. For example, bKash charges 1.8 percent of the total remitted amount.
- 10. DISADVANTAGES OR THREATS Security hack Identity theft Money laundering
- 11. GUIDELINES As per law, the Election Commission can share the NID database to only government agencies, said Debdulal Roy, deputy general manager of Bangladesh Bank, adding that the Central Bank is using the NID database for anti-money laundering and counter-terrorist financing. Provided the Election Commission changes the law and gives permission to the central bank, Bangladesh Bank will open a portal to share NID data with private banks and non-banking financial institution. In that case, Bangladesh Bank will behave like a service provider and not a regulator.
- 12. CONCLUSION The practice of electronic fund transfer (Bangladesh Electronic Fund Transfer Network) is growing in the country, it is not growing at the expected rate due to lack of awareness, despite the system's full-proof security. Also the share of cash and e-payment is going up due to higher economic growth. The central bank is set to allow PayPal to operate in the country, important to foster international transaction. In this regard, they need proper coordination between the central bank and BTRC for further development of mobile financial services.
- 13. QUESTION & ANSWER SESSION