The Sonali Bank Limited (SBL) moves to distribute allowance among 4.0 million beneficiaries under the government's social safety net programme through agent points in rural areas, officials said.
The state-owned bank took the decision in order to ease pressure on its branches so that the customers can get smooth banking service, they said.
Currently, the bank offers 37 types of services free of cost to the beneficiaries under the safety net programme and 14 more services at a nominal cost.
The bank is offering its service to the beneficiaries through its 1050 branches across the country.
Besides, different types of pension schemes are being operated by the bank.
It also lends to different problem-ridden state entities such as the Bangladesh Jute Mills Corporation (BJMC), the Bangladesh Agricultural Development Corporation (BADC) and the Bangladesh Petroleum Corporation (BPC).
Later, the loans are adjusted through issuing 20 or 30-year-tenure bonds at a 5.0 per cent interest rate.
The bank's financial strength has weakened following some lending, said the officials.
On November 13, the bank's Managing Director Obayed Ullah Al Masud wrote to the finance ministry seeking its approval for opening agent points to distribute allowance to the safety net beneficiaries.
However, he could not be contacted for comments despite several attempts over phone or through SMS.
There are 17 million account holders in the state-run bank. Of them, over 4.0 million account holders are under the safety net programme.
A senior official said the largest state-owned bank is committed to providing allowance to the safety net beneficiaries at a minimum cost and in a secured way.
"So, we are interested to distribute the allowance from beneficiaries' accounts through agent points selected by the bank," he said.
The bank will appoint one or more individuals/organisations as agent points as per the guidelines on agent banking issued by the central bank, he added.
Presently, the beneficiaries have to count a significant cost for collecting the allowance money from bank branches walking a long distance. The process is time consuming, he said.
Moreover, as there is a huge pressure on the bank branches, customer service is being disrupted due to the distribution of allowances to the beneficiaries, he said.
Also, additional cash is being kept ready for providing the allowance money, he added.
He also said necessary steps will be taken to appoint agent points if the government gives permission in this regard.
A finance ministry official told the FE: "A letter has recently been received from the Sonali Bank seeking government permission. The ministry is working on the issue but yet to take any decision in this regard."
rezamumu@gmail
