Chapter – 1

INTRODUCTION
1. ABSTRACT

Mobile financial service is an approach to offering banking system which enables users to
perform banking transaction. It is easy and cost effective for mobile transaction. In Bangladesh,
several banks are providing their banking service via mobile technology which is very much
effective for customers. This research paper examines the Mobile banking system of commercial
banks, technology that are using mobile bank and factors of influences the uses of mobile bank.
In Bangladesh perspective identify problems and challenges how does the user in risk with
regards to mobile Banking and the benefits of users. Data were collected through observation of
banking services related to mobile technology, and interviewed clients, agents and bank officials.
The results revealed that mobile banking system are easy for modern banking system. The
mobile banking that does can be handled all over in remote area within a single moment. Mobile
banking through an SMS based service would require the lowest amount of effort, in terms of
cost and time. Mobile Application based banking is poised to be a big m-commerce feature in
Bangladesh and it could well be the driving factor to increase sales of high-end mobile phones.

1.1 INTRODUCTION

Financial Institutions are investment intermediaries linking the savers and users of fund. These
intermediaries are interposed between the ultimate borrowers and lenders permitting them
efficient transfer of funds. Individuals having surplus funds can lend them for reasonable return
to entrepreneurs who need funds to take the advantage of economically and financially viable
investment opportunities. The key to successful banking lays in the ability of balance many
activities simultaneously. The bank must maintain a healthy growth rate, while at the same time
it must take action to minimize the risks it faces. The bank must also maintain enough cash on
hand to meet obligations. All of these are related to sound performance of a bank.
1.2 RATIONAL FOR SELECTING THE REPORT:

As a student of the Business Administration Discipline in Southeast University it is compulsory

to do dissertation. I am carrying out my dissertation at the Mobile Banking System. This study
will enable to know Mobile Banking. The report will provide information about Mobile Banking,
its operation, its benefit and its influence in Bangladesh economy. I am working in Mobile
banking system which had a great opportunity to have in depth knowledge of all the Mobile
banking activities. So, as the part of the study this dissertation program helps me to gaining
knowledge and understands about Mobile Banking system.

1.3 BACKGROUND OF THE STUDY:

We Know Bangladesh Bank play an important role of our country. The banking system of
Bangladesh is composed variety of banks working as National Commercial Banks,
Foreign bank, Specialization, banks and Development Banks. However, there are many
Banks in Bangladesh at Present. Under internship program each student has to prepared
Report on a particular topic related with the organization. According to this requirement,
I have completed the report regarding, & quote; Mobile Banking. The main focuses of my study
is to analysis about Mobile Banking which is new banking system in Bangladesh and its strength
and weakness.

1.4 BACKGROUND OF THE RESEARCH:

The rapid growth of information technology, especially in mobile devices have created
opportunities for new and innovative mobile banking services. Along with the widely used short
messaging system (SMS) for communication, the sophistication of mobile phone function has
affected the banking industry globally. The mobile phone technology advancement also
prompted banking industries to introduce mobile banking services. Rapid growth of mobile
banking enabled people to settle their banking transactions easily while saving time as every step
of the procedure was at their fingertips. Mobile banking (also known as M-Banking or SMS
Banking) is defined as a form of banking transaction via a mobile phone. Mobile banking allows
customers to check their account balances, transfer funds, reload on phone airtime, perform cash
in and cash out transactions as well as receive information alerts on the latest transactions in their
accounts. All this can be done through mobile phone devices for example, Personal Digital
Assistant (PDA), Smartphone or the regular basic mobile phone.

Mobile phones have become a tool for everyday use, which creates an opportunity for the
evolution of banking services to reach the previously unbanked population through mobile
banking. The use of mobile banking can make basic financial services more accessible to low-
income people, minimizing time and distance to the nearest retail bank branches. The
outstanding growth of mobile sector worldwide has created a unique opportunity to provide
social and financial services over the mobile network. With over 4 billion mobile cellular
subscriptions worldwide, mobile network has the ability to immediately offer mobile banking to
61% of the world population. But still the usage of mobile banking is a debatable issue among
the educated persons and professional body because of the risk involved in such transactions.

Bangladesh Bank defines the Mobile financial Services as –"Mobile Financial Services (MFS) is
an approach to offering financial services that combines banking with mobile wireless networks
which enables for user to execute banking transactions. This means the ability to make deposits,
withdraw, and to send or receive funds from a mobile account. Often these services are enabled
by the use of bank agents that allow mobile account holders to transact an independent agent
location outside of bank branches. MFS is still new in Bangladesh and this paper aims to capture
its early development and learn lessons.

❖ To study the technical and business model of mobile banking in Bangladesh.

❖ To identify prospect of mobile banking in Bangladesh.
❖ To detect problems of mobile banking in Bangladesh.
❖ To compare services through mobile banking of different banks.
❖ To make suggestions on the basis of findings.
1.5 OVERVIEW OF MOBILE BANKING:

Mobile banking (also known as M-Banking, m-banking, SMS Banking) is a term used for
performing balance checks, account transactions, payments, credit applications and other
banking transactions through a mobile device such as a mobile phone or Personal Digital
Assistant (PDA). The earliest mobile banking services were offered over SMS. With the
introduction of the first primitive smart phones with WAP support enabling the use of the mobile
web in 1999, the first European banks started to offer mobile banking on this platform to their
customers.

There are 160 million people in Bangladesh at the time, of which, 87% didn’t have a bank
account and most are living in rural areas. This represented a huge untapped market for
commercial banks. However, establishing bank branches across rural Bangladesh is not an option
because of the costs and of regulatory constraints as the central bank only grants new branch
opening licenses for a maximum of 15 branches in a year. According to market research
conducted by Dutch-Bangla Bank Limited (DBBL) before it started its mobile banking initiative,
just 13 percent of the 160 million people in Bangladesh had bank accounts. Yet within the
unbanked 87 percent, which is more than 139 million people, 50 percent have mobile phones.
Mobile operator agents are widely distributed, the devices themselves are affordable and service
coverage is constantly expanding. Similar numbers are common in developing nations all over
the world for the same reasons, which is why the opportunity for banks to bring basic financial
services to the unbanked via the mobile channel is so big. In mid-2011, DBBL launched a
solution for customers to manage money with their mobile phones, depositing and withdrawing
funds as well as conducting other financial transactions. In addition to making banking more
convenient and accessible for customers, the mobile channel provides a low-cost methodology
for DBBL. "BRAC Bank Limited" is introduced mobile banking that is enabled millions of
banked and unbanked people to deposit, withdraw and transfer money through mobile phones.
bKash, a joint venture between BRAC Bank and US-based money in Motion, will provide
mobile banking with a fully encrypted VISA technology platform for transactions through
mobile phones. Any mobile user can register and open up a bKash account and then do
transactions through their mobile phones in easy, convenient and reliable way.
1.6 LIMITATION OF MOBILE BANKING:

❖ Mobile Banking offers non checking limited purpose account only.

❖ Most people have not enough idea about mobile banking yet.
❖ The customer who has already an account with the bank, he needs addition account for
mobile banking.
❖ The customer who has the convention and mobile bank account both, he cannot access
the conventional account through mobile account.
❖ Mobile banking is being used for fund transfer mainly. Customer does not keep deposit
for long duration.
❖ Mobile banking has no various deposit schemes as of conventional banking yet.
❖ Mobile banking has no investment/loan schemes yet.
❖ The data is transferring through a third party cellular network, so there is a security
threat.
❖ Mobile bank has not interbank fund transfer facility yet

1.7 SCOPE OF THE STUDY

➢ The Report mainly focuses on the following areas:
➢ DBBL(ROCKET), bkash, IBBL Mcash, Tcash mobile banking
➢ Mobile Banking and Internet Banking extended.
➢ What kinds of people are depending of mobile banking
➢ Mobile banking working sectors
➢ How mobile banking plays of their role into banking sector

1.8 OBJECTIVES OF THE REPORT

❖ The main objective of the study is to write a report on Mobile Banking.

❖ To indentify prospect of mobile banking in Bangladesh.
❖ To make suggestions on the basis of findings.
❖ To provide precise knowledge of M-Banking and its infrastructure.
❖ To narrate the present scenario of M-banking in Bangladesh
❖ To identify the usage rate and satisfaction level of M-banking customers.
1.9 SOURCES OF DATA

Both primary and secondary sources were used for the research purpose. Secondary data were
used for providing the theoretical background to the research problem. The secondary data
sources were-journal, boMobile s, internet etc. Primary data was collected through mobile
banking user, agent and bank survey by using appropriate research instrument. In the primary
data collection procedure every individual respondent has been considered as potential
respondent in the research

1.10 METHODOLOGY OF THE STUDY

▪ Introduction

The objective of this research is to identify the key determinants of Mobile Banking adoption
among users in Bangladesh. Therefore, this chapter provides description of the methodology
used for this research. In this study, there is a detailed indication on the instruments used in the
data mining process. Both the conceptual framework and the theoretical framework are presented
in this chapter. There is also enlightenment on how the independent variables will influence the
independent variables and the suggested hypotheses. Additionally, the questionnaire design,
research approach, data resources,data collection method, measurement of the variables,sampling
method, sample size/population size, unit of analysis and data analysis techniques will also be
elaborately explained in this research

▪ Data Resources
Primary data are the data gathered directly from firsthand experience. The defining
characteristic of primary data is that data collected is unique and the research will stay
unrevealed until the study is published. Primary data can be classified into two
categories. Qualitative in nature is one of these primary data, which is usually text, based
or quantitative in nature, which signifies the numerical values. Among the methods
of collecting the primary data are via questionnaires, interviews, observations, group
interviews, case-studies, diaries, critical incidents and portfolios. Secondary data is data
 that has already been collected for use in previous studies. Secondary data can also been
divided into two based on their nature.

▪ Data Collection Method

➢ In this research, the data collection method was implemented through distributing
questionnaires. The motive for using the questionnaires method for collecting data
was because prior work which has been cited in this paper has all chosen this
method. There are several advantages which make the questionnaire method most
preferable. Amongst these advantages are it is cost effective, reduce bias
(questionnaires are handed out randomly), and it has a large amount of
correspondents. There are also other advantages of questionnaires such as its
undisputed, respondents will have time to think about their response, no prior
arrangements are needed when handing out questionnaires, and questionnaires can
cover wide geographic location because it can be posted, faxed or e-mailed.
➢ It allows large amounts of information to be obtained at a relatively low cost.
➢ More accurate responses are expected to be obtained because interviewer bias is
avoided.

▪ Sampling Method
After evaluating all possible methods of sampling, the most proper method for this
research has been identified as convenience sampling method. This sampling method is
anon-probability sampling technique where subjects are selected because of their
convenient accessibility and proximity to the researcher. Convenience sampling generally
assumes a homogenous population, and that one person is most likely like the other.
Distribution of the questionnaires was done through personal administration.
 ▪ Sample Size/Population
A total of 50 questionnaires were distributed randomly. The target respondents were
those who are able to communicate in English, as the questionnaire will be constructed
using English as the medium. Target respondents were people who own and use mobile
communication devices, such as PDAs, hand phones or smart phones. The study will be
covered within Dhaka, which will include students and various types of mobile users.
The distribution method used for this study was paper based questionnaires.

▪ Unit of Analysis
For the unit of analysis, the focus group was individuals from the workforce and students
within Dhaka, who are mobile service subscribers, aged between 20 – 49 years from
various countries, background, religion, gender and age. The reason behind choosing this
range is because based on the Hand Phone User Survey, the 20 – 49 age group has been
illustrated as the highest users of mobile phones for 1-3 years of survey, from the year
2012-2014, the last survey being published was in 2014. Besides this, sources were
students from various faculties, for instance, the unit analysis among the various users,
agent and account holder. The motive behind this choice was that most of the students in
Daffodil International University own mobile phone and have easy access to the internet
and also Wi-Fi around the campus and at home.

▪ Data Analysis Techniques

For the demographic section, Descriptive statistics was implemented to describe the basic
features of the data in the study. Descriptive statistics present simple summaries about the
sample and the measures. As for the constructs, inferential statistics was used. Inferential
statistics are used in order to make judgments of the probability whether an observed difference
between groups is a dependable one or one that might have happened by chance in this study.
▪ Research Approach
In order to substantiate the hypothesis proposed on the key factors of mobile banking
adoption in Bangladesh, it should be scientifically tested. In order for this to happen, data
must be collected from the sample / population to be analyzed. There are several ways to
collect information with the most prominent ways being via interview and questionnaires.
This data is then originated using various mathematical techniques to find out
information. As well as collecting data from the sample / population, a different way to
collect information is through research and by studying previous work done on the topic
to understand their findings and to achieve more knowledge about the topic.
Chapter - 2
Mobile Banking Overview
2.1 HISTORICAL BACKGROUND OF MOBILE BANKING
Bangladesh is a third world country with an under developed banking system, particularly in
terms of the services and customer care provided by the government run banks. Recently the
private banks are trying to imitate the banking structure of the more developed countries, but this
attempt is often foiled by inexpert or politically motivated government policies executed by the
central bank of Bangladesh, Bangladesh Bank. The outcome is a banking system fostering
corruption and illegal monetary activities/laundering etc. by the politically powerful and
criminals, while at the same time making the attainment of services or the performance of
international transactions difficult for the ordinary citizens, students studying abroad or through
distance learning, general customers etc.

2.2 MOBILE BANKING IN BANGLADESH

2.3 MOBILE BANKING AND FUTURE OF MOBILE FINANCIAL SERVICES

Mobile Money Transfer Is In The Rise, Hits $1.4 Billion Amidst High Transaction Cost

A recent report published by the USAID said, mobile money transfer is on the rise in the
country. Since its launch in 2011, mobile banking sector has been experiencing exponential
growth. According to the report, the growth has reached a new height in February making the
number at $1.42 billion which is BDT 11,104 crore. Bangladesh is among the biggest mobile
banking market in the world and accounted for almost 8% of total registered global mobile
banking users. Since a large number of population don’t have access to conventional banking,
mobile banking has become an instant hit in the country especially to BOP population.

However, the industry has seen its biggest growth between January 2013 and February 2015.
During this period of time the number of registered clients increased more than five-fold from 5
million to over 25 million. The number of transactions has also grown significantly during this
period of time, from 10 million in January 2013 to just under 77 million in February 2015,
making the daily transaction amount via mobile staggering $47.44 million on an average.

The report used desk research and face-to-face interviews with key mobile financial services
providers, telecom operators, technology platform providers, regulators, and USAID health and
agriculture project staff and 904 beneficiaries to come up with a unified understanding.
2.4 Mobile banking and future of mobile financial services

2.4.1 USAGE

The reports says: 77% of the respondents were interested in using mobile phones for bill
payments (77 percent), savings , 70% in airtime top-ups, 60% in school fee payments and 55% in
merchant payments.

2.4.2 CONCERNS

Safety has been one of the major critical points for mobile banking. Concern has always been
expressed by various stakeholders regarding safety of this system. However, report shows a
different picture. Whereas 8% of total respondents doubted about the safety of transaction, some
82 percent of the respondents in the survey certified mobile transactions to be safe.

Transaction fee has also been another concern for many users. Although 61% respondents
reported that transaction fees is Mobile ay but 26% of respondents disagreed with the statement
emphasizing that the transaction fee is still high.

2.4.3MARKET AND FUTURE GROWTH

There are at least 10 service providers operating in market. bKash dominates the market with
almost half of the market share followed by Dutch-Bangla Bank, rest of the ten providers
account for around a quarter of the total market share.

bKash has done an extraordinary work in familiarizing mobile banking in Bangladesh. It has
done so awesome that bKahs has become the synonym for mobile money transaction.

According to Mahindra Comviva, a mobile financial solutions provider, Bangladesh is in the

leading position in the Southeast Asian nations in terms of Mobile Finance Services. Kamaljeet
Rastogi, global head of business development of Mahindra Comviva, said: “Mobile money is
growing at the rate of 30 percent per year and this rate of growth is expected to continue for the
next two years and then it should become stable.”

Target customers for MFS are mainly people with limited to no access to banking services. It
means the current market size is only a part of whole. Given the population size in BOP market
in Bangladesh, mobile banking market will be doubled soon.Sources: USAID, the daily star,
Image credit: the daily star
CHAPTER-3
INTRODUCING FOUR MOBILE
BANKING SYETEM IN BANGLADESH
DUTCH BANGLA BANK LIMITED (ROCKET)

Dutch-Bangla Bank pioneered Mobile Banking in Bangladesh. It was the first bank to offer
banking facilities through a wide range of mobile phones in Bangladesh on March 31, 2011 a
DBBL Mobile banking. On September 25, 2016, management of DBBL Mobile Banaking
rebranded itself as ROCKET. Rocket is a Banking process without bank branch which provides
financial services to unbanked communities efficiently and at affordable cost. To provide
banking and financial services, such as cash-in, cash out, merchant payment, utility payment,
salary disbursement, foreign remittance, government allowance disbursement, ATM money
withdrawal through mobile technology devices.

Advantages of DBBL

• You can make transactions or pay bills anytime. It saves a lot of time.
• Mobile banking thorough cell phone is user friendly. The interface is also very simple.
You just need to follow the instructions to make the transaction. It also saves the record
of any transactions made.
• Cell phone banking is cost effective. DBBL provide this facility at a lower cost as
compared to banking by self.
• Banking through mobile reduces the risk of fraud. You will get an SMS whenever there is
an activity in your account. This includes deposits, cash withdrawals, funds transfer etc.
You will get a notice as soon as any amount is deducted or deposited in your account.
• Banking through cell phone benefits the banks too. It cuts down on the cost of tele-
banking and is more economical.
• Mobile banking through cell phone is very advantageous to the banks as it serves as a
guide in order to help the banks improve their customer care services.
 • Banks can be in touch with their clients with mobile banking.
• Banks can also promote and sell their products and services like credit cards, loans etc. to
a specific group of customers.
• Various banking services like Account Balance Enquiry , Credit/Debit Alerts, Bill
Payment Alerts, Transaction History, Fund Transfer Facilities, Minimum Balance Alerts
etc. can be accessed from your mobile.
• You can transfer money instantly to another account in the same bank using mobile
banking.
• Mobile banking has an edge over internet banking. In case of online banking, you must
have an internet connection and a computer. This is a problem in developing countries.
However, with mobile banking, connectivity is not a problem. You can find mobile
connectivity in the remotest of places also where having an internet connection is a
problem.
• Mobile banking is helping service providers increase revenues from the now static
subscriber base.
• Service providers are increasingly using the complexity of their supported mobile
banking services to attract new customers and retain old ones.
• A very effective way of improving customer service could be to inform customers better.

SWOT ANALYSIS OF DBBL(ROCKET):

I get the following Strengths, weaknesses, opportunities, and threats from my practical
observation in three months Internship Program, of DBBL as follows:

Strengths

1. Potential customer in rural and urban area where branch banking is not possible.

2. Partner is available.

3. New investment like Mobile Banking where no bank in Bangladesh is not start such kind of
business

4. Low cost for opening Mobile Bank Account.

5. Possible to give hand to the remote area customer of there remittance earn from abroad.

6. Mobile bill pay or recherche through Mobile Banking is possible.

7. Out let is available.

8. Transection process is easy

9. Save money in rural area.

10. Salary/Allowance Disbursement

Weaknesses

1. Out Let is not available as per requirement.

2. Mobile ATM booth is not available.

3. Amount of transaction is very little.

4. Advertisement is not adequate that most of the people don’t know about Mobile Banking.

5. Employee are not efficient that M-Banking is new in Bangladesh.

6. Insecure out let that rubbery the money in remote area where security is not available.

7. New concept in Bangladesh is the beast weakness

8. Cash in and out cost is more than interest rate

9. Lack of Knowledge of operating Mobile transaction within customer.

Opportunities

1. Lot of potential customer in Bangladesh that around 7 corer people use Mobile phone.

2. It may that the shopkeeper receive there payment through Mobile transaction.

3. Salary and allowance may distribute through Mobile Banking

4. Government and other International agencies positive attitude toward low classification rate.

5. Opportunity to expand banking business.

6. Large market for bank.

7. Gain more profit through Mobile Banking.

8. To reach the modern banking facilities to the rural area where banking facilities does not
reach till now.

Threats:
1) Customer may not use properly the process of M-Banking.

2) Reaching deeper into rural areas without costly investment in infrastructure.

3) Reducing the costs of servicing.

4) Interoperability

5) Security risks from robbery & holdup.

6) Scalability & reliability

7) Personalization

8) Customer education

9) Reduce cost of clients

10) Lack of out late

11) Cost of cash in and out is high compare to interest rate on bank deposit.

OPENING ACCOUNT:

A person who wants to open an account he/she should have some documents to open an account,
these are-

1. 2 copies PP size photo of Applicant

2. Photocopy of National ID Card

3. 100 take as account opening charge.

After registration of DBBL Mobile Banking DBBL cell center call customer for choosing the
password. Customer chose four digit number what they like. The mobile banking number will be
like mobile number with one cheque digit. It will be active within 1-2 working day.

How does it work:

 • Customer fills up the Application Form and submit to agent along with his photograph &
National ID (NID).
• Agent checks the Application Form, photograph & NID.
• Agent goes to Customer Registration Menu in his/her mobile and insert customer’s
mobile number.
• Customer receives a call and in reply, s/he gives a 4-digit PIN number of his/her choice
(please remember your PIN).
• A Mobile Account is created in the DBBL system which is his/her mobile number + one
check digit.
• Customer receives an SMS which contains his/her Mobile Account number (please
remember your check digit).

According to the Law and Practice the Banker – Customer relation arises only from contract
between the two. And opening of Mobile Account is the contract that establishes the relationship
between a banker and a customer. So this section pays very important role in attracting customer
and therefore be handled with extra care

SERVICE DETAILS:

Cash-in (cash deposit):

Customer can cash-in (deposit) at any authorized agent of DBBL (at present Citycell &
Banglalink agents) or DBBL Branch.

• Customer hands over cash to the Agent

• Agent initiates the transaction from his/her mobile
• Agent gets prompt menu and in reply agent enters customer’s mobile account number
(including check digit) and amount
• Agent enters his/her PEST
• System credits customer’s account for the same amount
• Agent issues a receipt to the customer
• System sends an SMS to the customer’s mobile
• For security reason, customer needs to check the sending number of SMS and the
amount.
• SMS will be sent from 16216.
Cash-out (cash withdrawal):

Customer can cash-out (withdraw) at any authorized agent of DBBL (at present
Citycell & Banglalmk agents), DBBL ATMs and DBBL Branch.

• Customer asks the Agent for withdrawal of an amount from his/her mobile account
• Agent initiates the transaction from his/her mobile
• Agent gets prompt menu and in reply agent enters customer’s mobile account
number (including check digit) and amount to withdraw
• DBBL system sends prompt menu to the customer’s mobile (or IVR Call): “You are
going to withdraw Tk. XXXX from your mobile account with DBBL. If you want to
continue, please enter your 4-digit PEST
• Customer enters his/her PIN
• System debits customer’s account and send an SMS to the customer’s mobile
Agent hands over money to the customer

Foreign remittance:

It can be sent to Mobile Account-

• Exchange houses at abroad receive remittance against beneficiary’s mobile account

number
• Exchange houses send the mobile account number and the amount to DBBL
• DBBL will centrally credit the amount against respective mobile account
• The beneficiary will get an SMS regarding such transaction.
• The beneficiary can go to any agent or DBBL ATM or DBBL Branch for withdrawal of
money

Others:

• Merchant Payment
• Utility Payment
• Air-time Top-up
• Fund Transfer
• A very effective way of improving customer service could be to inform customers better.

.
BKASH

COMPANY PROFILE

bKash Limited is a subsidiary from BRAC Bank. It was the second bank enter in mobile banking
industry. It was first originated in 2010 as a joint venture between BRAC Bank Limited,
Bangladesh and Money in Motion LLC, USA. In April 2013, International Finance Corporation
(IFC) became an equity partner who is a member of the World Bank Group. Bill & Melinda
Gates Foundation became the investor of the company in April 2014. bKash Limited is following
the great objective to ensure the access towards a broader range of financial services for the
general people of Bangladesh. It focused to serve the low-income general people of the country
by providing services that are reliable, convenient and affordable. More than 70 people among
each 100 of the population of the country live in rural areas where access of the formal financial
services is difficult. But these are the people mostly in need of such services, either for receiving
funds from family members in distant locations, or to access financial tools in order to improve
their economic condition. Less than 15% of Bangladeshis are connected to the formal banking
system whereas over 68% have mobile phones. These phones are not only devices for talking,
but can be and should be used for more useful and sophisticated processing tasks. bKash was
conceived primarily to utilize these devices and telecom networks to extend financial services in
a secure manner to the remote general masses of Bangladesh.

BENEFITS:

bkash, as a mobile financial service provider promises it’s users five core benefits which are fast,
affordable, secure, convenient and nationwide. These benefits are described in a brief below:

Fast

bKash promises it’s consumers to be the fastest transaction process. One can send and receive
money within minutes through bkash.
Affordable

The sending and receiving money through bKash is very low of cost comparing with global
standard. It has been a great advantage for the general people of the country

Secure

Each and every transaction of bKash is based on a PIN of personal identification number which
is very secure. Moreover, the bKash account will be fully secure even if one lost his or her
mobile. So bKash is promising the best security in transaction of money.

Convenient

bKash is highly convenient for it’s users. People can send and receive money anywhere and
anytime. bKash is serving it’s consumers 24 hours a day and 7 days a week.

Nationwide

bKash has more than 160,000 agents nationwide and more than 300 ATMs. So the availability of
the service is very high nationwide.

SWOT Analysis:

STRENGTH

It’s the market leader.

Having agents in every corner of street.

Using the strong and wide mobile company.

Strong financial position.

Brand image and reputation in the country

Strong company culture and customer care.

WEAKNESSES

The company does not provide any kind of security to the field of agent.

Provide only English-only USSD menu

High service charege

OPPORTUNITIES

122 million mobile phone subscribers

Online shopping popularity in Bangladesh

THREATS

Rapidly growing money laundering.

Scope for the terror financing

Rise of compititors

Opening Account:

Services Details :

bKash is offering the below mentioned products and services to all of it’s users,

Cash-In

One can load cash in their bKash account through any of the bKash agent or ATMs. This
process is free of charge.

Cash-Out

Users are able to withdraw cash from their accounts from the bKash agents as well as from the
ATMs. bKash charges a very low service charge for this.

Send Money

Money can be transacted from one account to another account virtually through bKash. The cost
is conveniently low and enables users to comfortably send money.

Payment

bKash is available in the majority of market to pay through.

Buy Airtime

People who use mobile are in need of regular airtime. bKash enables it’s users to directly buy
airtime from their accounts.

International Remittance

bKash has tied up with western union and mastercard to receive money from the foreign
countries which has enabled the rural people to directly receive money from the family members
who are living in other countries.
Interest on Savings

Users can enjoy up to 4% of interest annually on their savings in the bKash account

CUSTOMER SATISFACTION

In this competitive market place every business competes with each other for acquiring
consumers. Businesses who have achieved success in these competitive environments are the
ones that make consumer satisfaction a vital part of their business strategy. Consumer
satisfaction is a significant term because it provides proper measurement of satisfaction so that
business owners and marketers can use to manage and flourish their businesses. Still some
businesses are not considering consumer satisfaction as an important element and that is why
they are lagging behind in terms of success rate. So it is necessary to determine the consumer
satisfaction level of every company as consumers are the key to achieve success.

bKash Limited is a private limited company which is created especially to provide mobile
financial services in Bangladesh. Its mission is to provide affordable, suitable, convenient and
consistent financial service towards the consumers. The utmost objective of bKash is to assure a
wide range of financial services for the people of Bangladesh. Furthermore, it is very tough for
the people who live in rural areas to access the formal financial services. That is why it has an
extraordinary focus to serve the low earning groups of the country. bKash have brought some
products and etc. services to make the life more easier of general people. Very successfully
bKash has established and raised their identity. It is a very happy news that bKash is now serving
3 core consumers through 2 lac agents and covering 64 districts successfully. People can now
easily send money, bill payment, do shopping through bKash. bKash believes that
consumes/clients are their greatest strength. Therefore they are committed to provide quality
services for their consumers. Although the bKash is growing fast but at the same time market is
becoming more competitive. As a result bKash is trying to determine how to retain the
satisfaction level of the consumers as well increasing the customer base.
TRUST BANK
Trust Bank Limited introduced Mobile Financial Service (MFS) named ‘Trust Bank Mobile
Money’ on August 31, 2010 as a bank led model.
With an aim to bring banking services at the door step of the mass people; TBL re-launched and
rebranded Trust Bank Mobile Money as ‘t-cash’ effective from April 01, 2018.
We believe that launching of ‘t-cash’ is a prelude to our strong foot hold in MFS market and
will eventually strengthen TBL brand promise. ‘t-cash’ will support all the players with standard
business platform, open interfaces and support a wide range of business model in the financial
ecosystem. With low cost, technology based diversified product proposition with robust risk
management TBL aims to bring the unbanked population into the banking network.
‘t-cash’ enables its customers to avail financial services via their mobile phones through SMS,
USSD and Internet with speed, convenience and security. ‘t-cash’ is a savings account and thus
general customer will get Interest.

‘t-cash’ offers a wide array of services which are as follows:

1. A/C Registration, Cash Deposit and Withdraw at agents and TBL Branches
2. Person to Person fund transfer
3. Tuition and other fees payment of educational institutions
4. Recruitment Fees Collection of Bangladesh Army, Navy and Air force
5. Utility bills payment:
a) Air time recharge of all Telco’s and BTCL
b) Insurance premium collection of MetLife Alico, Meghna Life and Prime Life insurance Co.
c) Electricity Bill Collection of DESCO, DPDC and WZPDC
d) WASA bill
6. Passport Fee Collection
7. National ID Correction or Reissue Fee Collection
8. Foreign Remittance disbursement
9. Salary disbursement
10. Online Merchant Payment
11. A/C Balance check
Trust Bank is working with DFID for a Business Finance Challenge Fund under the name “Cash
Management Decision Support System (CMDSS)”. The project is being implemented under the
aegis of Financial Institution Division of Ministry of Finance and Bangladesh Bank. The project
with an OD facility will support the agents in its liquidity management. To further support the
agents TBL in collaboration with ShurjoMukhi is developing an app based solution for liquidity
management, KYC, performance appraisal, real time location tracking, communication and
training of agents.
To provide t-cash services TBL has established around 3,000 active t-cash Agents through
Distributors across the country. TBL has recruited contractual employees country wide to expand
the Agents and achieve the target through proper monitoring, guidance and assisting the
Distributors.
More and up to date information will be available at t-cash website: www.tcashbd.com and
facebook page:https://web.facebook.com/bd.tcash
Your valuable suggestion and engagement is solicited to make the whole effort fruitful and
effective.

Service Available

• Branch: All Branches & SME centers of Trust Bank.

• t-cash Agent: Accredited t-cash Agents.
• Merchant: Shurjomukhi, Arena, Cadet College, Amar Desh Amar Gram, Bangladesh
Army etc.

t-cash services can be access through:

• Mobile
• Internet

General Services of t-cash:

• Account Registration
• Cash Deposit & Withdraw
• Account to Account Money Transfer (P2P)
• Person to Business Payment (P2B)
• Business to person payments (B2P)
• Government to Person Payments (G2P)
• Bangladesh Navy Recruitment Fees (BNRF) payment
• Foreign Remittance through t-cash Account
• Passport fees payment
• Cadet College admission & tution fees
• Bangladesh ARMY recruitment fees
• Online Laptop/Notebook purchase
• Utility Bill Payment
o TopUp (Airtime recharge)
o DESCO Bill Payment
o Metlife Alico Insurance premium payment
o Meghna Life insurance Company
o Prime Islami Life Insurance Limited
o DPDC Bill Payment
• School Banking:
o RUMC (Rajuk Uttara Model College)
o BUP (Bangladesh University of Professional)
o MIST (Military Institute of Science and Technology)
o ACC (Adamjee Cant. College)
o SAGC (Shaheed Bir Uttam Lt. Anwar Girls College)
o RCPSC (Rajshahi Cantonment Public School & College)
o CPSCR (Cantonment Public School and College Rangpur)
o AIMS(Adventist International Mission School)
o ABN (Adorsha Biddha Niketon)
• Balance Inquiry
• PIN Change
• Transaction History
Islami Bank mCash (Mobile Banking)

Islami Bank mCash is the Mobile Banking of Islami Bank Bangladesh Limited where the
customers of any mobile company take the 24 hours of mobile banking services from anywhere
of the country without going to any branches.

Despite making significant improvements in all the areas relating to financial viability,
profitability, innovation and competitiveness, there are concerns that banks have not been able to
include vast segment of the population, especially the underprivileged sections and rural people
into the fold of basic banking services.

On the other hand, rapid growth of mobile phone users and wider range of the coverage of
Mobile Network Operators (MNOs) has made their delivery channel an important tool of the
trade for extending banking services to the unbanked/banked population.

In order to ensure the access of unbanked people by taking advantage of countrywide mobile
network coverage, Bangladesh Bank given the permission to start the mobile banking operation
for adoption of the unbanked people who have mobile connection.

Taking the growth of Mobile banking into consideration, it can be the perfect platform for
Bangladesh to take financial services to the country's largely unbanked population in an efficient
and low-cost manner.

Company Profile:
Islami Bank Mcash is the mobile Banking division of Islami Bank Bangladseh Limited.It started
it opration in 27th December. Cureently it’s the largest mobile banking service provider in the
country
IMMB Mcash ADVANTAGES:

Mobile banking seems to be the "in" thing right now. With mobile banking you can access your
bank accounts, make payments and transfer funds via your cell phone. With vast mobile
connectivity, mobile banking has become extremely successful.

Let's take a look at the merits of mobile banking. The first advantage is mobile banking has an
upper hand over internet banking because for the latter you will need to have an internet
connection and getting the connection in remotest places might not be possible. Secondly, it
saves a lot of time as you can pay your bills and make payments whenever you want.

Mobile banking is extremely user friendly. The interface is really simple and if you follow a few
simple instructions you will be able to make the transaction easily. Mobile banking is cost
effective and most banks offer this facility at lower costs compared to banking by self.

Advantages:

• Unique system for all to take the Banking Services of Islami Bank Bangladesh Limited
based on Islamic Shari'ah.
• Profit will be given to the customer's mobile account based on the Mudaraba Principles
of Islamic Shari'ah.
• Available banking services in 24 hours in a day, 7 days in week and 365 days in a year.
• Banking services without any branch banking
• Able to banking from anywhere of the country
• Foreign Remittances will be deposited directly to the mobile account in a short time.
• A service for the unbanked people to take banking services.
• Most modern, updated and more secure banking.
• Creation of bank transactions almost for all types financial activities.

Except the cash transactions, all transactions can be performed the by the customer himself.
SWOT ANALYSIS OF MCASH:

STRENGTH

They have addiquate finance, enough reserve for development

Religious sentiment

Strong customer base in deposit, foreign remittance and investment

WEAKNESSES

Lack aggressive advertising

Not enough agent in the country

It’s salary and bonuses of their staff are below what the market offers.

OPPORTUNITIES

Lots of potential customer

Gain more profit by mobile banking

THREATS

Threat of cyber security risk

High competition

Opening of mCash Account

Where & how to register Islami Bank mCash account

Islami Bank mCash Account can be registered from any branch of Islami Bank Bangladesh
Limited, any agent approved by Islami Bank Bangladesh Limited and mobile network operators'
approved agent where Islami Bank mCash signboard will be appeared. Here account opening
form will be found. Anyone can open the Islami Bank mCash account who has a mobile SIM of
any mobile company will fill up the form and submit to the agent. To open an account, one needs
the following:

1. 1 copy of passport size photograph.

2. Photocopy of National ID Card / Driving License / Passport
Agent / Officer will open an account based upon the information provided by the customer and
the customer will receive an SMS which will confirm the opening of the account.

The mobile account number will be the combination of his mobile number with a check digit
which will be placed at the last of his mobile number. So the mobile account number will be a
combination of 12 digit number.

Than the customer call *259# and get the mCash Account Activation Confirmation menu and
submit a four digit PIN number which will be used for each transaction and will not be disclose
to anyone for security reason. At this stage, customer only can deposit money to his account but
not able to withdraw and other transactions.

After the activation of his mobile account by the branch employee of IBBL, he will get a
confirmation SMS. Now, he can enjoy all the services of Islami Bank mCash. Generally it is
required 1-3 days to activate an account.

mCash: Service Details

Where and how the transactions will perform

Islami Bank mCash Account transactions can be performed at any branch of Islami Bank
Bangladesh Limited, any agent approved by Islami Bank Bangladesh Limited and mobile
network operators' approved agent where Islami Bank mCash signboard will be appeared.

Transaction Procedures

Cash in (deposit)

• Customer will give the deposited amount and mobile account number to the agent

• Agent will start the cash in process from his mobile phone

• Agent will give the deposit slip to the customer

• Than both the customer and agent will receive a SMS as the confirmation of the cash in
(deposit)

• After receiving the SMS, customer will confirm about his cash in. So, he/she must not
leave the agent counter before getting the SMS
Cash Out (Withdraw)

• Customer will give mobile account number and tell the amount of cash out (withdraw) to
the agent

• Customer will call *259# from his mobile and get the Cash Out (withdraw) menu

• Then he will submit the agent's mobile account number, amount of money and PIN
number

• Then transaction will complete and both the customer and the agent will receive the
confirmation SMS from the System

• Agent will take the customer's signature/finger print and give the cash out (withdraw)
receipt and money to the customer

Receive Foreign Remittance

Now, it is not required to come at the branch premises to receive the foreign remittance. Now,
anyone can send the foreign remittance directly to the mCash mobile account from the IBBL
foreign liaison offices, approved agents and exchange houses. Within 24-72hours the fund will
be credited directly to the mobile account and also get the confirmation SMS both the remitter
and the beneficiary.

This money can be able to withdraw from any branch of Islami Bank Bangladesh Limited, any
agent approved by Islami Bank Bangladesh Limited and mobile network operators' approved
agent where Islami Bank mCash signboard will be appeared. Please provide your remitter the
following information to remit the foreign remittance:

• Amount of Money

• Name of the beneficiary

• Account Number (mCash Mobile Account)

• Bank Name: Islami Bank Bangladesh Limited