MFS milestone

Mobile banking clients cross 3cr mark

Last year's Novemeber was a milestone for Bangladesh's Mobile Financial Services. Since crosssing that, it kept on moving forward, paving the way for a more financially inclusive nation.

Crossing 30 million or 3 crore subscribers in October, it stood at 3.12 crore in November. Of above 2 crore mobile banking clients in November 2014, it rose 33% by 79 lakh over the year. The expansion of services were pronounced if we look at the last 2 years. From 50 lakh in April 2013, growth figures showed 524% increases to 3 crore in Novemeber 2015. Of the total 7 crore depsitors at the end of September, 42% could access mobile financial services. Around 5.5 lakh agents are involved with this business.

Mobile Financial Services in need

Sound investment stressed to make MFS competitive

Mobile Financial Services (MFS) have already started a while back in Bangladesh and largest operators bKash, with 85% market share and Dutch Bangla Bank Ltd, with 10% have invested huge sums for platform, network and training. Still it is seen that these businesses are not making good enough revenue, operating on loss or marginal profit. With over 2.86 crore mobile banking clients in June 2015, the transactions are 85% of the time being done Over The Counter (OTC). This makes accountability and records very untrustworthy and unmanageable.

Telecom talks all around

Airtel and Robi begin merger talks

It is unavoidable that the greatest highlight today would be the proposed merger of Robi with Airtel. The fourth largest telecom operator, Bharti Airtel, if merged with the third largest, Malaysia based Robi Axiata Ltd , would become the second largest in the country. Airtel, announcing earlier they will retract all operations from Bangladesh, may eventually see a different future.

Mobile inter-operator tariff debate

Mobile operators divided over inter-connection charges

Airtel and Citycell is to your right, where they are seeking complete withdrawal of inter-connection fees, while to your left, Robi, Grameenphone and Banglalink is in disagreement with the proposal. They counter-pointed that operating lower than the current one of the world’s lowest tariff rates and Robi opting for an increase in minimum voice call price.