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For more than two years, Nagad has been under administrative control, as questions over its future ownership have remained unresolved.

Potential buyers at home and abroad have repeatedly been linked to the mobile financial services provider, operating under the postal department, although no deal has materialised.

Now, the government says it has no plans to sell Nagad — at least for the time being.

Postal, Telecommunications and Information Technology and Science and Technology Minister Faqir Mahbub Anam told   that the rumours were baseless.

“There is no plan by the government to sell Nagad. That is the final word for now,” he said.

Although Nagad is a company of the postal department on paper, all of its shares are still held by its former chairman Syed Mohammad Kamal, former managing director Tanvir Ahmed Mishuk and others.

Their names have therefore featured in discussions over a possible transfer of ownership.

On Aug 4, Mishuk told   that there was “good news” and that a deal under discussion had progressed significantly. He said he would provide details the following day.

He did not answer calls the next day, but said by SMS that discussions were still ongoing and promised an update on Aug 10. He could not be reached by phone or SMS on that date.

What Does the Administrator Say?

Current administrator Md Motasem Billah said he had also heard various names linked to a possible takeover, including VEON, the parent company of Banglalink, the Abul Khair Group and a bank.

“But nobody is buying it, and there is no solution yet,” he said.

He stressed that such decisions were not the administrator’s responsibility and would have to be handled by the government and Bangladesh Bank.

According to Motasem, Nagad’s shares remain with its previous owners, while the postal department holds only its licence. Legally, he said, any sale would have to be carried out by the existing shareholders.

“If they do not want to sell, nobody can buy it,” he said, adding that this may be why potential buyers ultimately lose interest.

Motasem, who has run Nagad for about a year and a half after a previous administrator served for five months, said a company could not operate under an administrator indefinitely. He recently asked the Bangladesh Bank governor to allow him to return to the central bank.

Despite the uncertainty, Motasem said Nagad was “doing well”, with profits increasing.

A Nagad official, speaking on condition of anonymity, said staff had heard about around 20 different possible buyers over the past two years, but nothing had been finalised.

Nagad’s Troubled Journey

Nagad began operating as a mobile financial services provider on Mar 26, 2019.

During the previous Awami League government, the company faced allegations of being given “undue benefits” in violation of regulations.

In June 2024, shortly before Sheikh Hasina’s government fell, Nagad was also granted a licence for a digital bank named Nagad Bank PLC.

Allegations subsequently emerged that the bank had been set up through a company incorporated abroad using “laundered money”.

Bangladesh Bank therefore suspended Nagad Bank’s licence.

After the fall of the Awami League government following the student-led uprising, the Bangladesh Bank dissolved Nagad’s previous board and appointed an administrator on Aug 21, 2024.

The High Court later declared the move unlawful, after which the Department of Posts took charge of Nagad.

In February 2025, the Bangladesh Bank filed a case against Nagad over alleged embezzlement, naming 24 people as defendants, including the company’s former chairman Kamal and managing director Mishuk.

According to the case, the central bank inspected Nagad’s operations from Apr 21 to 25, 2024, and found a shortfall of more than Tk 1.01 billion in real money against e-money issued through the “trust-cum-settlement” accounts of various banks.

The administrator team also found information indicating a Tk 6.45 billion shortfall in e-money, along with other serious financial irregularities, while overseeing Nagad’s operations. The Bangladesh Bank subsequently filed the case.

On Aug 28, 2025, then governor Ahsan H Mansur said at an event in Dhaka that the government had decided to hand Nagad over to the private sector and would issue a notice within a week seeking investors.

The governor said Nagad’s ownership would be transferred to a private company within three to four months and that new investors were being sought because the postal service lacked the capacity to operate Nagad.

“A technology company needs to be brought in as the principal shareholder of Nagad. We have discussed this at the highest levels of government. Our main objective is to make the institution more capable and stable,” he said.

The announcement prompted a flurry of interest from various quarters in acquiring Nagad.

The interim government subsequently began looking for strategic partners for Nagad who would take an ownership stake, inject fresh investment and help take the company to the next stage.

An initiative was also taken to appoint an experienced financial advisory firm to oversee the transaction.

The Bangladesh Investment Development Authority (BIDA) invited international tenders for the purpose, with plans to seek investors after determining Nagad’s financial value.

BIDA issued a notice on Aug 31 last year inviting expressions of interest.

The notice outlined Nagad’s current market position and announced plans for a share sale. Domestic and international financial advisory firms with relevant experience were asked to submit applications to BIDA by Sept 15.

By then, preparations for the national election had begun in earnest.

Amid the political uncertainty, the process of appointing a financial advisor did not move forward. The matter remains stalled even after the new government took office.

Who is Interested in Nagad?

One of the country’s largest industrial conglomerates, the Abul Khair Group, is reportedly interested in acquiring Nagad’s digital banking licence.

The group is said to have held several meetings with senior government officials, although it has so far made no public comment on the matter.

Meanwhile, VEON Ltd, the parent company of Banglalink, wants to acquire Nagad’s entire MFS operation.

To this end, Banglalink Managing Director and Chief Executive Officer Johan Buse wrote to Rehan Asif Asad, the prime minister’s advisor for posts, telecommunications and information technology, on Mar 28.

Following that letter, VEON Group founder and Board Chairman Augie K Fabela met Prime Minister Tarique Rahman on Jun 29.

In a statement following the meeting, Banglalink said the discussions focused on creating opportunities for new investment.

VEON also outlined its plans to build an integrated digital financial services ecosystem in Bangladesh.

“Leveraging global fintech expertise, VEON aims to bring accessible digital banking, microfinance and micro-insurance services to millions of people across the country,” the statement said.

The Nasdaq-listed global digital operator also presented its “Invest in Bangladesh Now” initiative at the meeting.

When   contacted Banglalink’s Dhaka office on Saturday for an update on the discussions, an official, speaking on condition of anonymity, said VEON had been “very interested” in acquiring Nagad and that its chief had met the prime minister for that purpose.

“But there has been no further progress on the matter since then,” the official said.

After the BNP government took office, Jamaat-e-Islami lawmaker Mir Ahmad Bin Quasem Arman met then governor Mansur on behalf of a foreign party interested in acquiring Nagad.

Following the meeting on Feb 24, he told reporters that Nagad’s policy had yet to be finalised under the new government and that foreign investment would be possible if the government allowed private investment in the sector.

He said several foreign investors were interested in investing in Nagad and that he had met the central bank governor as a lawyer representing one of them.

Asked who the investor was, Arman did not disclose its name. He said, however, that the investors had operations across three continents and now wanted to invest in Bangladesh. He said he was acting as their local coordinator in his capacity as a lawyer and was providing them with legal assistance.

Earlier, in a letter to the governor dated Feb 8, Arman had sought permission to conduct an audit for the foreign investors.

What Does the Govt Say?

Those involved in running Nagad left the country after Aug 5, 2024. The Bangladesh Bank subsequently appointed an administrator to Nagad on Aug 21 that year.

Despite allegations of various financial irregularities, Nagad has a large customer base. According to information on its website, the company currently has 90 million customers.

Muhommad Badiuzzaman Dider, a Bangladesh Bank director, was initially appointed as administrator. Six officials were assigned to Nagad to assist him.

On Sept 17, a five-member management board was formed with former Bangladesh Institute of Development Studies (BIDS) director general KAS Murshid as chairman.

In September that year, Dider filed a police complaint, alleging that Nagad’s former managing director Mishuk had threatened him.

On Feb 12 last year, Dider was also assaulted. He has been on leave since then.

On Feb 27, the central bank appointed executive director Motasem as Nagad’s administrator.

The Bangladesh Bank reconstituted Nagad’s management board on Jun 23, appointing former AB Bank managing director Kaiser Ahmed Chowdhury as chairman of a seven-member board.

Administrator Motasem is also a member of the board, which is now running Nagad.

Post and Telecommunication Minister Faqir Mahbub Anam said the current board was running Nagad well and that the government was working to improve its operations further.

“They are running it quite well. We are working on how to run it even better. There have been a lot of discussions about Nagad. For now, we have no plan to sell Nagad,” he said.

He said there were some irregularities surrounding Nagad that needed to be addressed.

“There is also a legal matter. So, considering the overall situation, we have decided that, for now, we will not sell Nagad,” he said.

Mahbub said government management of the company would continue to strengthen its ability to compete in the market.

“We aim to turn state-owned institutions such as Nagad into more efficient, profitable and public-oriented organisations,” he said.

“Nagad is playing an important role in bringing digital financial services to people’s doorsteps. We need to modernise the postal service, strengthen Nagad’s technological capabilities and ensure transparency and accountability to make the institution more trusted and people-friendly.”

Mahbub said Nagad had paid a significant amount in taxes and revenue during the current financial year, describing it as a positive achievement for the state and an important contribution to increasing the country’s revenue.

In the 2025-26 financial year, Nagad paid nearly Tk 18.6 million to the postal department as part of revenue sharing, 34 percent more than in the previous financial year.