New directive sets a minimum Merchant Discount Rate of 1% including VAT for Bangla QR-based merchant transactions.
Bangladesh Bank Sets Minimum 1% MDR for Bangla QR Merchant Payments
- Minimum MDR fixed at 1% including VAT.
- Rule applies to merchant payments through the NPSB platform.
- Existing fees and conditions remain unchanged.
- Banks may co
Bangladesh Bank has set the minimum Merchant Discount Rate (MDR), including VAT, at 1 percent for merchant payments made through Bangla QR codes on the National Payment Switch Bangladesh (NPSB) platform.
The central bank's Payment Systems Department-2 (PSD-2) issued the circular on Wednesday, and the directive took effect immediately.
According to the circular, Bangladesh Bank had previously specified MDR limits for Point of Sale (POS) and Bangla QR-based transactions conducted through the NPSB platform and government payment systems using card schemes.
Under the new directive, all existing fees, charges and conditions remain unchanged. Only the minimum MDR applicable to Bangla QR-based merchant payments has been revised.
The circular states that acquiring banks or financial institutions may charge merchants a minimum MDR of 1 percent, including VAT, for payments received through Bangla QR using bank accounts, debit cards, prepaid cards, credit cards, Mobile Financial Services (MFS) and Payment Service Providers (PSPs).
To encourage wider adoption of digital payments, the central bank has also allowed acquiring banks and institutions to continue offering promotional campaigns at their own discretion.
Industry stakeholders believe the move will help create a more structured and sustainable framework for Bangla QR-based digital payment services in Bangladesh.
//DBTech/BBPR/MI//
