Regarding the agreement, Md. Shafayet Alam, Executive Director of Nagad Ltd, said, “Nagad has been successfully disbursing allowances and stipends with transparency in association with government’s various types of financial inclusion efforts. In continuation of this, Nagad is now involved in the disbursement of stipends to technical and madrasa students. We believe, that receiving stipends through Nagad will not only benefit the students but also accelerate the government’s efforts to create a ‘cashless society’. Nagad will continue supporting endeavors to develop a digital Bangladesh.”

Since 2020, the Bangladesh Postal Department’s mobile financial service Nagad has effectively distributed several types of allowances, including stipends, earning government’s trust and confidence. Initially, the government signed an agreement with Nagad to disburse stipends and allowances to 1.2 million primary school students via Nagad which has been accomplished transparently by the company. Subsequently, in 2021, 300 technical institutions and madrasas as well as 8,000 teachers, staff and students received the government’s allowance totaling BDT 50 million crore through Nagad.

In addition, the mobile financial service Nagad started distributing stipends and allowances to primary school students for purchasing educational materials recently in June, this year.