BRPD-1 Circular No. 11: Commercial Launching of E-Loan

Bangladesh Bank
Head Office
Motijheel, Dhaka-1000
Bangladesh website: www.bb.org.bd
Banking Regulation &
Policy Department- 1

11 May 2026
BRPD-1 Circular No.- 11 Date: ---------------------- 28 Baishakh 1433 Managing Director/Chief Executives All Scheduled Banks operating in Bangladesh Dear Sir/Madam, Commercial launching of “e-loan” In order to ensure inclusive and sustainable economic development through diversification of financial services, Bangladesh Bank has undertaken various initiatives. In recent years, with the rapid expansion of internet and mobile network coverage, the use of digital devices in banking operations has increased significantly. The ease of access to technology has led to a growing demand for digital lending services (e.g., through internet banking, mobile applications, mobile financial services, e-wallets, etc.) among customers of scheduled banks. The availability of such services can play a vital role in promoting financial inclusion, familiarizing marginal populations with digital financial services, and achieving the vision of a cashless society. In this context, commercial launching of ‘e-loan’ is expected to contribute significantly to strengthening these ongoing initiatives of Bangladesh Bank.
2. In this context, scheduled banks may commercially launch ‘e-loan’ as a new service in
compliance with the following instructions:
a) The term ‘e-loan’ shall be included in the service name; b) A customer may avail maximum of BDT 50,000 (Taka Fifty Thousand) as an e-loan at a time, with a maximum tenure of 12 (twelve) months; c) Banks shall set market-based interest rates on e-loan; however, the rate shall not exceed 9% if refinancing facilities under BRPD Circular No. 11/2022 are availed; d) All activities related to e-loans (from customer onboarding to loan recovery) shall be conducted through an end-to-end digital process; e) In place of physical signatures on loan applications, sanction letters, and charge documents, customer identity shall be verified using biometric data and consent shall be obtained accordingly. Agents or third parties of banks shall not store biometric data; f) Prior to commercial launching, banks shall successfully complete a piloting of at least 06(six) months. Based on the evaluation and feedback from the piloting, banks shall prepare the Product Program Guidelines (PPG) and obtain approval from their Board of Directors. Banks shall notify this office, along with the evaluation report and the approved PPG, within 15 (fifteen) days of launching;

-2- g) Existing Bangladesh Bank policies regarding interest rates, processing fees, early settlement fees (irrespective of nomenclature), loan classification, provisioning, write-off, and penal interest shall be applicable to e-loan; h) Bank shall comply with BRPD Circular No. 27/2010 regarding interest calculation, display, and disclosure; i) Loan features (e.g., nature, annual interest rate, tenure, disbursement, repayment method, etc.) shall be properly communicated to customers prior to obtaining their consent. Necessary steps shall be taken to enhance customer-level financial literacy; j) Until API-based automated Credit Information Bureau (CIB) system becomes fully operational (24/7), real-time CIB inquiries shall remain temporarily relaxed. However, CIB inquiry reports must be collected and preserved immediately after loan approval/ disbursement; k) If any borrower avails an e-loan by concealing information, the loan must be adjusted immediately upon detection of adverse CIB report or such concealment; l) No CIB inquiry charge shall be imposed for e-loans; m) In compliance with the section 27(AA) of the Bank Company Act, 1991, banks shall place appropriate measures to prevent disbursement of e-loan to defaulted borrowers. In this regard, prior to loan disbursement, information regarding loans from other banks, finance companies, and mobile financial services (if applicable) shall be collected; n) Customer on boarding shall be conducted using bank-approved platforms and registered mobile SIMs. Customer identity shall be verified through OTP (One-Time Password) along with Two-Factor Authentication (2FA) or Multi-Factor Authentication (MFA), where necessary; o) Outsourcing guidelines under BRPD Circular No. 2/2015 shall be complied in case of engagement of third parties; p) In accordance with the Guidelines on Cloud Computing (BRPD Circular No. 5/2023) and the Cybersecurity Framework (BRPD-2 Circular No. 2/2026), customer and loan-related data must be stored in data warehouses located within Bangladesh. To ensure data security and privacy, banks shall comply with the Personal Information Security Act, 2026; the National Data Protection Act, 2026; the Cybersecurity Act, 2026, and all other relevant regulations issued by Bangladesh Bank and the Government; q) Risk management practices, loan disbursement procedures and ciculars issued by Bangladesh Bank from time to time, and prevailing laws and regulations shall be duly complied with; r) Anti-Money Laundering (AML) and Counter-Terrorism Financing (CFT) regulations shall be complied with in case of account opening; and s) Information on e-loans shall be reported quarterly to this department using ‘Annexure-Ka’ and monthly to the Statistics Department using the prescribed RIT template.

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3. Prior to the final launch of e-loan, banks shall conduct piloting for at least six (06) months.
Based on the evaluation, positive and viable outcome, and feedback from the piloting, the Product Program Guidelines (PPG) for the e-loan shall be finalized, and the product may be launched commercially with the approval of the Board of Directors.
4. This directive has been issued by Bangladesh Bank in exercise of the power conferred under
Section 45 of the Bank Company Act, 1991.
5. This circular shall come into force immediately and shall supersede any previous instructions
issued in this regard.

Yours faithfully,
(Gazi Md. Mahfuzul Islam)
Director (BRPD)
Phone: 9530252

Quarterly Statement for e-Loan
Name of Bank:
Quarter:
SL Product Name
Date of
Commercial
Launch of the
Product
Disbursed Amount (in BDT
Crore)
Refinanced Amount (in BDT
Crore) Outstanding
Amount (in
BDT Crore)
Overdue
Amount
(in BDT
Crore)
CL (%)
Current
Quarter
Cumulative
(up to ….
Quarter)
Current
Quarter
Cumulative
(up to ….
Quarter)
Total