Bangladesh Bank Scraps Merchant Fees on Bangla QR Payments to Boost Digital Transactions

Bangladesh Bank has taken a new step to make Bangla QR payments more attractive and accessible, particularly for small and marginal businesses. The central bank has decided to waive merchant fees on Bangla QR transactions and introduce incentives for participating institutions.

Under the new arrangement, small businesses will not have to pay fees for receiving payments through Bangla QR. In addition, incentives will be provided for transactions of up to Tk 2,000.

Bangladesh Bank issued two separate circulars on Monday (August 10), outlining the new payment structure.

According to the circulars, institutions involved in the payment process, including merchants and payment service providers, will receive incentives at specified rates. For every Tk 100 transaction, the acquiring institution will receive 10 paisa, while the issuing institution will receive 20 paisa.

The central bank said the initiative is aimed at making merchant payments easier and bringing more small and marginal traders and service providers into the formal digital payment ecosystem.

The move is expected to encourage more small retailers, shops, restaurants, service providers and other businesses to accept digital payments without worrying about additional merchant charges.

Bangladesh Bank also hopes that reducing transaction costs will increase the use of Bangla QR, expand cashless payment options and strengthen the country's overall digital payment infrastructure.

For consumers, wider acceptance of Bangla QR could also mean greater access to convenient digital payment options when shopping at smaller businesses.