The central bank of Bangladesh has announced that it has added approval for contactless debit and prepaid card payments in a circular that also sets a PIN-free transaction limit of Tk3,000 (US$35) and requires card issuers to notify customers of each transaction via SMS.
Card issuers can also set a daily limit on the number of contactless payments that cardholders make, the circular says.
“According to the circular issued by the Payment Systems Department of Bangladesh Bank, the use of such services through credit cards has become popular as card transactions are easy and dynamic,” The Financial Express reports.
“The use of this technology in credit card, as well as debit and prepaid card transactions, is expected to increase electronic transactions, the circular said.”
“Earlier the service was only available to credit cardholders,” the publication adds.
Bangladesh began rolling out a national QR mobile payments system in January 2020.