Bangalink, the Bangladeshi arm of telco VEON, has been awarded a Payment Service Provider (PSP) licence from Bangladesh Bank, the central bank of Bangladesh, paving the way for its entry into the country’s digital payments market.
Banglalink will launch its digital payment services under the brand Mukto Pay – the word Mukto meaning freedom in Bengali – as a fully owned Banglalink service. Once launched, Mukto Pay will facilitate a range of digital transactions, including money transfers, merchant and e-commerce payments, utility and government bill payments, salary and other disbursements, as well as other approved payment services.
Alongside this expansion into digital payments, VEON is also pursuing opportunities in digital banking in Bangladesh and has applied for a Digital Bank licence.
“Mukto Pay is a clear example of how our operating companies are moving beyond connectivity to build the digital and financial infrastructure their markets need,” explains Kaan Terzioglu, CEO of VEON Group. “Bangladesh has enormous potential and by giving individuals, micro-merchants and small businesses who remain unbanked or underserved a simple way into the formal financial system, Banglalink is helping more people participate in the country’s growth. This reflects a pattern we are building across VEON: connectivity as the foundation, digital financial services as the next layer of value.”
Johan Buse, Chief Executive Officer of Banglalink, adds: “Banglalink’s operating momentum, with revenue up 4.1% YoY in BDT terms and underlying EBITDA rising 13.6% in the second quarter of 2026, gives us a strong foundation to invest further in digital and financial services. By combining Banglalink’s nationwide reach and deep understanding of local customers with VEON’s global digital expertise, we aim to make digital payments simpler, more accessible and more relevant to people’s everyday lives. This licence marks the next step in that ambition, contributing to a more inclusive, cashless and digitally empowered Bangladesh, making a better life for all.”
The PSP licence reflects continued progress under the framework VEON outlined in June 2026 for launching “Invest in Bangladesh NOW,” a proposed public-private partnership with the Government of Bangladesh. VEON’s initial $250mn investment, committed over the coming years, forms part of that framework, which aims to attract a total of $1bn in foreign direct investment to advance connectivity, digital infrastructure, digital financial services, and AI in Bangladesh.
VEON’s digital services continue to gain momentum, with financial services a key and growing contributor. In Q2 2026, digital revenue rose 53.6% YoY to $342mn, or 26.9% of total Group revenue, with financial services alone contributing $151mn, approximately 44% of that total. VEON’s financial services platforms served approximately 59 million active customers across Pakistan, Kazakhstan and Uzbekistan during Q2 2026. Bangladesh is now set to join this growing footprint, with Banglalink targeting a full commercial launch of Mukto Pay in September 2026, subject to completion of remaining regulatory and technical requirements.
