Dhaka Bank, Mastercard Launch Dual-Currency SME Credit Card For Bangladesh Small Business Owners

💳 Dhaka Bank PLC has collaborated with Mastercard to introduce a dual-currency payment solution, titled the "Dhaka Bank-Mastercard SME Business Credit Card", for small and medium enterprise (SME) owners in Bangladesh. Osman Ershad Faiz, managing director and chief executive officer of Dhaka Bank, and Zakia Sultana, country manager of Bangladesh at Mastercard, jointly inaugurated the card at a ceremony in Dhaka on Monday.

📊 "SMEs are at the heart of Bangladesh''s economy and Dhaka Bank remains committed to supporting their growth through innovative financial solutions," Osman said at the event. He said the card would provide entrepreneurs with greater financial flexibility and help them manage their businesses more efficiently. The initiative would also accelerate digital payment adoption and support the vision of a Cashless Bangladesh, he added.

🤝 Mastercard perspective

Zakia Sultana said small enterprises were central to Bangladesh''s economic progress and digital transformation, making access to innovative financial tools essential. The collaboration reflects Mastercard''s commitment to supporting the SME ecosystem through secure, convenient and value-added payment solutions. Mastercard has been actively expanding its presence in Bangladesh''s digital payments market, partnering with multiple banks and fintech companies to develop payment solutions for various customer segments.

💰 The SME financing gap

The launch of the Dhaka Bank-Mastercard SME Business Credit Card addresses a significant gap in Bangladesh''s SME financing landscape. SMEs account for a substantial share of Bangladesh''s employment and GDP, but they have historically faced significant challenges in accessing formal credit. Traditional bank loans typically require collateral, lengthy documentation, and established credit histories that many SMEs cannot provide. Credit cards designed specifically for SME use provide a more accessible alternative — allowing SME owners to access working capital, manage cash flow, and make business purchases without the friction of traditional loan applications.

The dual-currency feature is particularly significant for Bangladesh''s SMEs that engage in international trade. Many SMEs import raw materials, machinery, or components from China, India, and other trading partners — and they need to make payments in foreign currency. A dual-currency card allows them to make both domestic and international payments using a single card, simplifying their financial management and reducing the need for separate foreign currency accounts.

🌏 Bangladesh''s SME sector context

Bangladesh''s SME sector comprises millions of enterprises spanning manufacturing, services, trade, and agriculture. The sector employs an estimated 20-25 million people and contributes roughly 25% of GDP. Despite its economic importance, the sector has been chronically underserved by formal financial institutions, with the Bangladesh Bank estimating that the SME financing gap exceeds Tk 5 lakh crore.

The SME credit card is one of several innovations that have emerged in recent years to address this financing gap. Other innovations include supply chain financing platforms, digital lending apps, peer-to-peer lending, and invoice discounting platforms. Each of these innovations addresses a different aspect of the SME financing challenge — credit cards for working capital and short-term financing, supply chain financing for trade credit, digital lending for quick disbursement, and invoice discounting for receivables financing.

👥 Why SME credit cards matter

SME credit cards matter for several reasons. First, they provide SMEs with revolving credit that can be used for a variety of business purposes — purchasing inventory, paying suppliers, covering operating expenses, or making capital investments. This flexibility is particularly valuable for SMEs that have irregular cash flows and unpredictable financing needs.

Second, SME credit cards generate transaction data that can be used for credit scoring and lending decisions. By analysing card transaction patterns, banks can develop a better understanding of an SME''s revenue, expenses, and cash flow — enabling them to offer additional credit products tailored to the SME''s specific needs.

Third, SME credit cards support the broader digital payments agenda by encouraging SMEs to shift from cash-based transactions to digital payments. This is important for Bangladesh''s broader formalisation and tax compliance agenda, as digital payments create an auditable trail that supports tax collection and reduces the scope for informal economic activity.

🤝 Looking ahead

The Dhaka Bank-Mastercard SME Business Credit Card is a meaningful addition to Bangladesh''s growing SME finance ecosystem. The card''s success will depend on Dhaka Bank''s ability to market it effectively to SME owners, Mastercard''s ability to ensure wide merchant acceptance, and the value proposition that the card offers relative to alternative SME financing options.

For Bangladesh''s broader SME sector, the launch is a positive signal that the banking and payments industry is increasingly focused on developing products tailored to the specific needs of small businesses. As more such products emerge, SMEs should have greater access to the formal financial services they need to grow, hire, and contribute to Bangladesh''s economic development. The vision of a Cashless Bangladesh, referenced by Osman Ershad Faiz at the launch ceremony, remains a long-term aspiration — but products like the SME credit card are meaningful steps towards that vision.