VEON's Banglalink Receives Bangladesh Bank Approval to Launch Digital Payment Service Mukto Pay
Rhea-AI Summary
VEON (NASDAQ: VEON) announced that its Bangladesh subsidiary Banglalink has received a Payment Service Provider (PSP) licence from Bangladesh Bank, enabling entry into the country’s digital payments market under the new brand Mukto Pay, a fully owned Banglalink service.
The licence aligns with VEON’s June 2026 “Invest in Bangladesh NOW” framework, which includes an initial USD 250 million investment as part of a plan to attract USD 1 billion in foreign direct investment to support connectivity, digital infrastructure, financial services and AI. Banglalink reported Q2 2026 revenue growth of 4.1% YoY in BDT terms and underlying EBITDA up 13.6%, while VEON’s Q2 2026 digital revenue rose 53.6% YoY to USD 342 million, with financial services contributing USD 151 million and serving about 59 million active customers.
Positive
- PSP licence secured from Bangladesh Bank, enabling Mukto Pay launch
- Initial USD 250 million investment planned under “Invest in Bangladesh NOW” framework
- Banglalink Q2 2026 revenue up 4.1% YoY in BDT terms
- Banglalink Q2 2026 underlying EBITDA up 13.6%
- VEON Q2 2026 digital revenue up 53.6% YoY to USD 342 million
- Financial services revenue USD 151 million, about 44% of VEON digital revenue in Q2 2026
Negative
- None.
News Explained
The approval advances Banglalink toward payments, but commercial availability still depends on unresolved regulatory and technical requirements.
Banglalink has received the Payment Service Provider licence, but Mukto Pay remains a planned
If launched, Mukto Pay is intended to support money transfers, merchant and e-commerce payments, utility and government bill payments, and salary and other disbursements.
Separately, VEON says it has applied for a Digital Bank licence in Bangladesh; that application is not the same as receiving that licence.
Key Figures
Historical Context
| Date | Event | Sentiment | 24h Move | Catalyst |
|---|---|---|---|---|
| Jul 31 | 2Q26 earnings report | Positive | -0.9% | Digital revenue growth and raised 2026 guidance preceded a negative 24-hour reaction. |
| Jul 29 | Office opening | Positive | +4.4% | Kyivstar opened a New York investor-relations office ahead of its quarterly results. |
| Jul 27 | Engagement milestone | Positive | +1.4% | Banglalink's Toffee reported record FIFA World Cup viewing and advertising engagement. |
| Jul 14 | Insurance acquisition | Positive | +1.2% | Jazz International completed its acquisition of a controlling TPL Insurance stake. |
| Jul 07 | Earnings date notice | Neutral | -1.9% | VEON scheduled its 2Q26 results release and management presentation for July 31. |
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
VEON's recent positive announcements generally aligned with positive reactions, while the July 31 earnings release diverged.
Key Terms
payment service provider (psp) licence regulatory
underlying ebitda financial
digital bank licence regulatory
AI-generated analysis. How Rhea-AI works. Not financial advice.
Banglalink targets September 2026 commercial launch as new licence advances VEON's digital financial services ambitions
Dubai, Dhaka, and New York, August 12, 2026: VEON Ltd. (NASDAQ: VEON) today announced that its Bangladesh operating company Banglalink has received a Payment Service Provider (PSP) licence from Bangladesh Bank, the central bank of Bangladesh, paving the way for its entry into the country's digital payments market. Banglalink will launch its digital payment services under the brand Mukto Pay, a fully owned Banglalink service designed to provide customers with simple, secure and accessible digital payment solutions. The name "Mukto," meaning "freedom" in Bengali, reflects Banglalink's vision of broadening access to financial services.
This licence reflects continued progress under the framework VEON outlined in June 2026 for launching "Invest in Bangladesh NOW," a proposed public-private partnership with the Government of Bangladesh. VEON's initial USD 250 million investment, committed over the coming years, forms part of that framework, which aims to attract a total of USD 1 billion in foreign direct investment to advance connectivity, digital infrastructure, digital financial services, and AI in Bangladesh.
Kaan Terzioglu, CEO of VEON Group, said: "Mukto Pay is a clear example of how our operating companies are moving beyond connectivity to build the digital and financial infrastructure their markets need. Bangladesh has enormous potential, and by giving individuals, micro-merchants and small businesses who remain unbanked or underserved a simple way into the formal financial system, Banglalink is helping more people participate in the country's growth. This reflects a pattern we are building across VEON: connectivity as the foundation, digital financial services as the next layer of value."
Johan Buse, Chief Executive Officer of Banglalink, said: "Banglalink's operating momentum, with revenue up
VEON's digital services continue to gain momentum, with financial services a key and growing contributor. In Q2 2026, digital revenue rose
Once launched, Mukto Pay will facilitate a range of digital transactions, including money transfers, merchant and e-commerce payments, utility and government bill payments, salary and other disbursements, as well as other approved payment services. Alongside this expansion into digital payments, VEON is also pursuing opportunities in digital banking in Bangladesh and has applied for a Digital Bank licence.
About VEON
VEON is a digital operator that provides connectivity and digital services to over 151 million connectivity customers and more than 227 million digital users. Operating across five countries that are home to more than
About Banglalink
Banglalink, the country's leading digital operator, places people at the heart of everything it does. Guided by a people first approach rooted in care, Banglalink works to make digital and financial services more accessible and meaningful in everyday life, ultimately making a better life for all. The company offers a range of digital solutions, including the MyBL super app, the country's largest entertainment platform Toffee, and RYZE, the country's first AI powered digital lifestyle brand for youth. Banglalink is a fully owned subsidiary of VEON, a Nasdaq listed global digital operator headquartered in Dubai.
Forward Looking Statements Disclaimer
This release contains “forward-looking statements,” as the phrase is defined in Section 27A of the U.S. Securities Act of 1933, as amended, and Section 21E of the U.S. Securities Exchange Act of 1934, as amended, including in relation to VEON’s investment plans in Bangladesh.
Contact Information
VEON
pr@veon.com
