Bangladesh's financial inclusion has grown gradually, driven by Bangladesh Bank’s introduction of "No-Frill Accounts" (NFAs).

These accounts, with minimal or zero balance requirements and no-fee services, enable low-cost access to banking for a wider population, according to a Bangladesh Bank report on Tuesday.

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The report showed the impact of NFAs on financial inclusion, noting that these basic accounts were aimed at people from various socio-economic backgrounds.

NFAs were designed to provide simple, cost-effective access to banking. The latest report showed that, as of December 2024, the total number of NFAs reached 32,591,450, with deposits totalling Tk 6,823.62 crore. Accounts opened with Tk 10/50/100 deposits (excluding school banking and accounts for street children/working minors) accounted for 28,123,390 of these, with cumulative deposits of Tk 4,685.11 crore.

The number of NFAs grew by 0.90% from the previous quarter and 4.22% year-on-year. The largest segment consists of accounts linked to Social Safety Net (SSN) programs, which make up 37.12% of the total, followed by accounts for farmers (36.95%), said the report.

By December 2024, Tk 896.26 crore in credit had been disbursed to Tk 10/50/100 account holders through refinancing schemes, supporting financial stability. These accounts also helped distribute foreign remittances, with Tk 772.7 crore received by the end of the quarter, it added.

Additionally, 10,439 new school banking accounts were opened, and 39,634 accounts were opened for street children and working minors. The report noted that the top five banks account for 79.05% of these accounts, with Sonali Bank leading at 24.07%.

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NFAs have been crucial in integrating financially excluded individuals into formal banking, said the report.