More than 70% of the population of Bangladesh lives in rural areas where access to formal financial services is difficult. Financial inclusion of this mass has been made possible by bKash, with its introduction as a mobile money platform.
With greater convenience, bKash is already the most popular and trusted medium of banking via mobile phone. Recently partnering with MasterCard and Western Union, it has opened its gateway to receive money from abroad. Earlier it facilitated only intra-country transactions.
A pretty impressive number of Bangladeshi youth are employed abroad. The cumulative sum of the money that they send is large and has significantly contributed to increase the GDP besides the foreign reserve of Bangladesh. Revenue of bKash is certain to soar with this offering as bKash will soon be capturing a larger share of remittance flow into the country.
Now migrants working in UAE, UK, Oman, Malaysia, USA, South Africa and Saudi Arabia will be able to transfer money more easily, safely and quickly. Since the money will be deposited in the mobile account, family members will be able to receive money instantly without further hassle.
bKash is now a concern and a subsidiary of BRAC Bank limited. The initiative started as a joint venture between BRAC Bank Limited, Bangladesh and Money in Motion LLC, USA. In April 2013, International Finance Corporation (IFC), a member of the World Bank Group, became an equity partner and in April 2014, Bill & Melinda Gates Foundation became the investor of the company.
Utilizing the omnipresence of mobile devices and telecom networks bKash is a revolution in financial inclusion of the mass and this integration of remittance transfer option is a big step forward in terms of social advancement.