Under agent banking, it is the owner of an outlet who conducts banking transactions on behalf of a bank under a valid agency agreement rather than a teller/cashier. The rising trend of agent banking services amidst the pandemic signifies there is huge scope to bring the mass rural unbanked people under the umbrella of formal banking services, Islam said. “We have been operating agent banking activities for six years, which inspired the other banks to jump in. In future, banks would disburse small- and medium-sized enterprises loans, agriculture loans and microcredit through the agent banking window, Ali added. “We set up agent outlets in remittance centred areas, which is also another reason for the jump in remittance distribution through our agent banking channels,” he added.

Source: Dhaka Tribune December 15, 2020 18:56 UTC