VEON, a global digital operator, announced that its joint venture with Square Group has received approval for a Digital Bank license from Bangladesh Bank, the country's central bank. This license allows VEON to fully engage in digital banking in Bangladesh, building upon Banglalink's existing Payment Service Provider license, which supports its Mukto Pay digital payments service.
Read More
The approval is a significant milestone under the "Invest in Bangladesh NOW!" initiative, a collaboration with the Government of Bangladesh, launched by VEON in New York during the UN General Assembly High-Level Week. VEON has pledged an initial investment of US$250 million as part of its goal to mobilize US$1 billion in foreign direct investment to enhance connectivity, digital infrastructure, and financial services in the country.
The new digital bank will leverage Banglalink's mobile ecosystem to provide accessible financial tools to users across Bangladesh. By integrating VEON's global technology expertise with Square Group's established distribution and retail networks, the venture aims to deliver banking services to underserved communities.
As of Q2 2026, VEON Digital Financial Group has 59 million active financial services customers in Pakistan, Kazakhstan, and Uzbekistan. With the new approval, Bangladesh will expand VEON's digital financial services footprint, aligning with recent regulatory successes in Kazakhstan.
Kaan Terzioglu, Group CEO of VEON, emphasized the importance of financial inclusion in combating poverty and expressed gratitude to the Government of Bangladesh for its support in developing the country's digital financial infrastructure.
Tapan Chowdhury, Managing Director of Square Group, celebrated the approval on the 101st birthday of the firm's founder, highlighting the synergy between VEON's technological capabilities and Square Group's established presence in Bangladesh.
Johan Buse, CEO of Banglalink, noted that with Mukto Pay and the digital banking license in place, they are well-positioned to serve those lacking access to traditional banking, thus promoting financial inclusion in Bangladesh.