Bangladesh Bank Suspends ‘Binimoy’ Platform over Breach of Contract and Irregularities

The Bangladesh Bank has officially suspended the interoperable digital transaction platform ‘Binimoy’ citing multiple irregularities and breach of contractual obligations. The central bank revealed that it was pressured into launching the platform despite concerns over its financial and technical feasibility.

Initially introduced under a 2019 agreement, Binimoy had involved eight banks—including Sonali Bank, BRAC Bank, UCB, Eastern Bank, Pubali Bank, Mutual Trust Bank, Al-Arafah Islami Bank, and Midland Bank—and mobile financial service providers such as bKash, Rocket, and mCash.

However, over the past seven to eight months, the platform had ceased to process any financial transactions. According to the Bangladesh Bank, the system’s documentation was developed without its involvement, and it was pushed into launching the service without necessary technical support.

“We were compelled to launch the platform, which has now been suspended,” said Arif Hossain Khan, Executive Director and Spokesperson of the Bangladesh Bank. “All documentation was prepared without our participation, and operating such a risky platform without assistance was not feasible.”

He further stated that the operating fees due to the central bank were long overdue, and based on legal advice, the decision to suspend the platform was finalized.

Binimoy had been developed under the ICT Division during the tenure of the now-ousted Awami League government. The platform, built at a cost of BDT 65 crore by the Innovation Design and Entrepreneurship Academy (iDEA), was launched in November 2022 to facilitate seamless transactions among banks, MFS providers, and payment service providers.

Although modeled after India’s UPI system, experts noted that Binimoy failed to gain traction. The platform lacked user-friendly features, suffered from poor promotion, and struggled with limited interest from financial institutions.

Despite the suspension, the Bangladesh Bank is progressing with an alternative. In partnership with U.S.-based open-source organization Mojaloop and with support from the Gates Foundation, a new interoperable platform is under development and expected to launch later this year.

“The new platform is progressing well,” said Arif Hossain Khan. “We are supplying necessary data promptly, and we hope to finalize the agreement soon.”

While Binimoy may be shelved, the country’s drive for digital transformation in the banking sector continues. Stakeholders hope this next iteration will deliver a transparent, effective, and secure transaction framework that accelerates Bangladesh’s digital payment ecosystem.