The Bangladesh Bank (BB) has granted initial approval for the establishment of five digital banks in the country.
Under the decision, the central bank will issue Letters of Intent (LoIs) to the approved entities, enabling them to initiate operational procedures towards full launch.
The decision was taken at a meeting of the BB Board of Directors, presided over by central bank Governor Md Mostaqur Rahman, on Thursday, said Arief Hossain Khan, spokesperson for the central bank.
The five digital banks are bKash Digital Bank by mobile financial service (MFS) provider bKash, Nova Digital Bank by Banglalink, Boost Digital Bank by Robi Axiata, Digital Banking of Bhutan by Bhutan's DK Bank and Kori Digital Bank by Technohaven.
The central bank has initially approved five entities among 12 applicants to receive LoIs for setting up digital banks.
Earlier, during the interim government, Bangladesh Bank invited applications for digital bank licences.
A total of 12 institutions, including leading industrial conglomerates, microfinance institutions, mobile operators, and MFS providers, submitted applications between September 1 and November 2, 2025.
However, approvals were stalled at the time due to internal protests by Bangladesh Bank officials and other factors under then-Governor Ahsan H Mansur.
Following the formation of the BNP government, Mostaqur Rahman replaced Ahsan H Mansur as governor. No new applications were called, and the central bank's board made its selection from the existing pool of applicants.