Govt to Privatise Nagad to Boost Competition in MFS

A file photo of Bangladesh Bank Governor Dr Ahsan H Mansur. Photo: Collected

The government has decided to transfer Nagad, the mobile financial service (MFS) operated under the Bangladesh Post Office, to the private sector in a bid to increase competition and investment in the market.

Bangladesh Bank Governor Ahsan H Mansur announced the decision while speaking at the “Cashless Bangladesh Summit 2025,” jointly organised by ICMAB and Mastercard in Dhaka on Wednesday. He said a circular inviting investors will be issued within a week.

“When it comes to MFS, unfortunately, we still have only one major player in the market. More competition and new investments are needed. That is why Nagad will be shifted to private ownership,” he said.

The governor noted that the postal department no longer has the capacity to manage such a service. A technology company will be brought in as Nagad’s main shareholder to ensure sustainable operations.

Mansur also said major reforms have already been carried out in Nagad, including resolving issues linked to its former owners and eliminating around 15 million fake or inactive accounts. The organisation is now undergoing restructuring.

Emphasising the need for a strategic technology investor, he added, “What we need now is an organisation like bKash, which can gradually invest and expand its shareholding in Nagad. We hope to revive Nagad as a strong competitor.”

National Board of Revenue chairman Md Abdur Rahman Khan, finance secretary Khairuzzaman Mozumder, and City Bank PLC CEO Mashrur Arefin also spoke at the event.