Regulatory Alerts2025-05-28
Added
PSD Circular No. 07: Regarding online gambling activities
The Payment Systems Department of Bangladesh Bank mandates mobile financial service providers, payment system operators, and payment service providers to monitor for and prevent involvement in online gambling activities. Entities must utilize AI-based technology and physical observation to detect such activities, immediately report suspected involvement to law enforcement, raise consumer awareness regarding the harms of online gambling, verify that merchants operate at their registered locations, and comply with the Cyber Security Ordinance 2025. These directives take immediate effect.
Payment Systems Department Bangladesh Bank Head Office Dhaka
28 May, 2025 PSD Circular No.: 07 Date: ---------------- 14 Joishtho, 1432
Chief Executive Officer / Managing Director All Mobile Financial Service Providers, Payment System Operators and Payment Service Providers operating in Bangladesh
Dear Sir,
Regarding online gambling activities.
- With reference to the above subject, it is informed that online-based gambling activities have increased in the country. As a result of these activities, social degradation and, above all, criminal activities are increasing in the country. Now, the following instructions will be applicable to you:
a) It must be kept under constant surveillance whether any merchant or general customer is involved in the relevant activities. In this regard, assistance of Artificial Intelligence (AI) based technology must be taken if necessary. Considering the relevance, physical observation activities must be conducted at the address of the merchant or customer;
b) If it is suspected that any merchant or general customer is involved in the relevant activities, necessary measures must be taken immediately and the law enforcement agencies must be informed;
c) Consumer awareness activities regarding the harmful effects of online-based gambling activities must be conducted;
d) It must be ensured that the customer who has become your customer for the purpose of conducting business activities at a particular location (geographical location) of any merchant is actually conducting business at that location;
e) The 'Cyber Security Ordinance, 2025' promulgated on 21 May, 2025 must be complied with.
- This directive will take effect immediately.
Yours faithfully,
(Signature)
(Rafeza Akter Kanta) Director (PSD) Phone: +88-02-55665001-20/21239