TDS Desk:

Bangladesh Bank has permitted conventional banks with Islamic banking branches or windows to offer online Islamic banking services from each branch or sub-branch. To facilitate this, banks must establish help desks staffed by experts in Islamic banking.

The central bank issued a circular to this effect on Monday.

According to the circular, in order to expand Islamic banking activities further, banks’ Islamic banking branches or conventional branches and sub-branches with windows can conduct Islamic banking under specified conditions.

These conditions include the provision of Islamic banking help desks at branches and sub-branches, staffed by trained and experienced officers in Islamic banking.

These desks will exclusively serve customers of the bank’s authorised Islamic banking branches or windows, providing online financial transactions, as well as deposit, withdrawal, and transfer facilities. Separate ‘Islamic Core-Banking’ software must be used for Islamic banking transactions.

The circular also stipulates that Islamic banking transactions will be conducted through general accounts maintained at Islamic banking branches, with funds from these accounts not to be used for conventional banking purposes. Customer account opening and investment operations cannot be conducted through the Islamic banking desk.

Furthermore, branches conducting online Islamic banking must prominently display the banner ‘Online Islamic banking services provided’ in a visible location.