TBT DESK: Bangladesh Bank (BB) set the Interchange Reimbursement Fee (IRF) at zero percent for Bangla QR transactions, aiming to reduce the cost of digital payments and accelerate the country's transition towards a cashless economy.
The central bank today issued the directive through its Payment Systems Department-2 (PSD-2), with the measure particularly aimed at reducing the cost of doing business for small merchants, street vendors and other micro-level businesses and encouraging wider use of digital payments.
Under PSD-2 Circular Letter No. 06, the issuing institution would not be entitled to any fee or service charge from the acquiring institution for transactions conducted through Bangla QR.
The directive applies to scheduled banks, mobile financial service (MFS) providers, payment service providers (PSPs) and payment system operators (PSOs), establishing a uniform zero-IRF arrangement across the Bangla QR ecosystem.
The instruction amended the relevant provisions of PSD Circular No. 02/2025, dated February 8, 2025, while other provisions of the circular remained unchanged. It also repealed PSD-2 Circular Letter No. 05, issued on July 1, 2026.
The zero-IRF arrangement was scheduled to come into effect on October 1, 2026, giving banks and payment service providers time to make necessary system adjustments.
Bangladesh Bank introduced the measure to lower transaction-related costs for merchants and encourages wider adoption of Bangla QR, particularly for small-value retail transactions.
The move was an important policy step towards expanding interoperable digital payments and supporting the country's broader goal of building a "Cashless Bangladesh."
