VEON’s Banglalink Secures PSP Licence to Launch Mukto Pay Digital Wallet in Bangladesh

Quick Summary

Banglalink, a subsidiary of VEON, has secured a Payment Service Provider (PSP) licence from Bangladesh Bank to launch Mukto Pay. This digital payment service aims to drive financial inclusion for unbanked micro-merchants and consumers, supporting Bangladesh’s transition toward a cashless digital economy by September 2026.

How Does Mukto Pay Address Financial Inclusion in Bangladesh?

Mukto Pay serves as a critical bridge for the millions of underserved consumers and small businesses currently excluded from the traditional banking sector. By leveraging Banglalink’s nationwide mobile reach, the platform provides a secure gateway for digital transactions, including utility payments, e-commerce, and salary disbursements. This initiative is part of a broader USD 250 million investment commitment by VEON to bolster the country's digital infrastructure.

• Target Launch: September 2026 commercial rollout.
• Service Scope: Money transfers, bill payments, and merchant acquiring.
• Strategic Goal: Transitioning Bangladesh into a digitally empowered, cashless society.

What Role Does Digital Finance Play in VEON’s Growth Strategy?

The launch of Mukto Pay is a cornerstone of VEON’s transition from a pure connectivity provider to a comprehensive digital operator. In the second quarter of 2026, VEON reported that digital revenue surged by 53.6% year-on-year, reaching USD 342 million. Financial services alone accounted for 44% of digital revenue, proving that fintech is the primary engine for value creation across its emerging market footprint.

• Digital Revenue Contribution: 26.9% of total Group revenue.
• Active Fintech Users: 59 million customers across Pakistan, Kazakhstan, and Uzbekistan.
• Financial Performance: Banglalink EBITDA rose 13.6% in Q2 2026.

What is the Future of Digital Banking for Banglalink?

Securing the PSP licence is only the first phase of Banglalink’s financial roadmap. The company has already applied for a Digital Bank licence to further deepen its ecosystem. This move aligns with the "Invest in Bangladesh NOW" framework, which seeks to attract USD 1 billion in foreign direct investment. By integrating AI-powered lifestyle brands like RYZE with financial tools, Banglalink is positioning itself as the dominant digital platform for the Bangladeshi youth and business community.

FF NEWS TAKE:

VEON’s move into the Bangladeshi fintech space via Mukto Pay is a significant needle-mover. By converting a massive mobile subscriber base into active financial users, Banglalink is replicating a proven high-margin strategy seen in other emerging markets. The 44% contribution of financial services to digital revenue highlights that the future of telcos lies in embedded finance. This launch sets a high bar for regional competitors.