The system will allow bank clients to encash cheques within the day of submission. Presently, such withdrawal takes up to three days, as it requires clearance from the central bank.

As per recommendation of an inter-bank consultative group, 246 branches of nationalised, private and foreign banks in Dhaka are going to introduce 'same-day clearing' system, offering their clients a quicker service.

The Bangladesh Bank on September 17 issued a guideline for introducing the system in line with recommendation of the consultative group, which was formed as per suggestion from central bank Governor Fakhruddin Ahmed.

Sources said 51 nationalised, private and foreign banks have already informed the central bank about their 246 branches that will introduce the system. The branches are in Paltan, Motijheel, Kakrail, Gulistan and Tikatuli areas.

Earlier, the Bangladesh Bank (BB) directed all commercial banks to send a list of their branches located within four kilometres of the central bank head office in Dhaka that can technically handle same-day clearance.

The BB suggested that all items under the system will have to be endorsed with the 'same-day clearing' stamp by the bank concerned. It also asked the banks to keep the relevant data saved in computer.

The banks will transfer the data to clearing houses in floppy disks and the clients will be able to withdraw their money within hours of submission of cheques.

Other working procedure of the same-day clearing instrument will be similar to the present banking procedure.

From Saturday through Wednesday, the same-day clearing will start at 11 am and close at 12 noon while return clearing will start at 2pm. On Thursdays, it will start at 10am and close at 11am. The return clearing will start at 12 noon.