The New Nation - Internet Edition

Business Reporter

The number of mobile phone and Internet users is increasing day by day in the country. E-banking system makes banking easier. Mobile banking is not yet applied widely. New Nation talked about the issue with Kamaluddin Ahmed, Chairman of Alif Group of Companies and former first Vice-President of the Federation of Bangladesh Chambers of Commerce and Industry (FBCCI).

When Kamaluddin Ahmed asked about his opinion on mobile banking in Bangladesh he said that the news is encouraging and also important for Bangladesh. Mobile banking in some other form, but not actually in the banking mode, got started in Bangladesh already, for example money transfer from one mobile phone to another mobile phone introduced by one mobile network operator (MNO}.

Till recently some MNOs have started the products like paying utility bills to different agencies through mobile phones. People have become used to these kinds of habits and such products are also gaining popularity across the country, even un- educated people who have no formal education background could easily use these facilities. So introducing mobile banking would be some kind of potential development in our country. If people could do some banking operation at their fingertips without visiting any bank counter that could definitely comfort the users he added.

When asked about the suitability of mobile banking for a third world developing country like Bangladesh he replied though Bangladesh is a 3rd world developing country but in case of using mobile phones it has even surpassed many developed countries. Use of modern state-of-the-art technology in Bangladesh has also rapidly taken place here. Many banks are truly online and lots of banks are giving round the clock service 365 days a year through Kiosks, TM/CDM machines etc. Such developed environment in banking and the ever-increasing habit of the people to use mobile phones should be conducive for mobile banking here.

Kamaluddin opined that since many banks of our country use advanced and modern technology, centralized banking software and many banks even have call centers working round the clock, these banks would be enough fit providing mobile banking service to the subscribers

When New Nation sought his evaluation about on going E- banking system in Bangladesh he said, "The scenario of E- banking system is satisfactory. Some banks are doing very good in their E-banking systems, though the number of such banks is not that big. However, most banks are trying to give E- banking facility to their customers. So, with the increase of the use of Internet users the popularity of E- banking shall definitely increase and more banks should also come forward with E- banking systems."

He also put forward some reasons of public banks of lagging behind in adopting E - banking system. He said, "the important criterion for E - banking is the technology based environment and the use of a centralized banking software. Our public banks unfortunately lack the technology based environment and could not still adopt any centralized banking software for these banks. So until the time they could make their work environment technology based and could use modern banking software they would leg behind in adapting E-banking system."

The Chairman of Alif Group of Companies however recommended some points which will work out for hacking the banking system/software/technology etc. should be adequately encrypted; the technology team in the banks should be constantly vigilant against the hackers and should endeavor to develop and modify their systems continuously. Moreover, banks should engage independent technology surveillance team to monitor their systems round the clock through out the year apart from such a team in their office.

Kamaluddin thought that the ruling Caretaker Government has been addressed many issues since its onset regarding country's economic progress like structuring discipline in many important government sectors like ports, energy and other public services etc that has touched economic uplift, stability in political situation, fight against corruption and imposition of strict discipline in financial transactions, transparency in many government activities.

All these developments and changes have made positive effect in the economy and as such considerable economic progress is evident in all sectors of the economy in the post 1/11 regime he added.