Electronic fund transfers thru Nikash-BEFTN software from November 12

Electronic fund transfers will be carried out through the Nikash-BEFTN software of the Bangladesh Automated Clearing House (BACH) from November 12 instead of the Bangladesh Electronic Funds Transfer Network (BEFTN).

The transactions in the local currency will be processed in three sessions: 12am to 11:59am, 12pm to 2:59pm, and 3pm to 11:59pm, said the central bank in a notice yesterday.

The credit and debit transactions will have to be performed separately and the return process will have to be completed within the next two sessions of an EFT settlement, it said.

Launched in 2011, the BEFTN was the country's first paperless electronic inter-bank funds transfer system.

It facilitates both credit and debit transactions as a lead over cheque -clearing system. The network can handle credit transfers such as payroll, foreign and domestic remittances, social security payments, company dividends, bill payments, corporate payments, government tax payments, social security payments, and person-to-person payments.

Similarly, the BEFTN accommodates debit transactions such as utility bill payments, insurance premium payments, club or association payments, and equated monthly instalment (EMI) payments.

Most of the government salary, social benefits, all social safety net transfers, and other government payments are processed through the BEFTN, according to the central bank website.