The Bangladesh Bank has announced a comprehensive overhaul of its youth financial services, significantly expanding access to formal banking for the nation’s academic population. Under a new directive issued by the Financial Inclusion Department on 9 February 2026, the central bank has raised the eligibility age for student accounts and introduced a suite of modern financial tools, including credit facilities.
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From ‘School’ to ‘Student’ Banking
In a strategic shift to reflect the broader demographic now covered, the central bank has officially rebranded ‘School Banking’ as ‘Student Banking’. Previously, these specialised accounts were restricted to minors under the age of 18. The new policy extends this limit to 25 years, encompassing university students and researchers who were previously forced to transition to standard—and often more expensive—retail accounts.
This move is designed to foster long-term financial literacy and provide a seamless transition from primary education through to postgraduate studies.
Enhanced Transactional Freedom
The updated guidelines provide a substantial boost to the liquidity available to young account holders. The previous restrictive withdrawal limits have been adjusted to better reflect the rising cost of living and educational expenses.
Standard ATM Withdrawals: Increased from Tk 5,000 to Tk 15,000 per month.
Enhanced Limits: Upon a formal application by a legal guardian, the monthly withdrawal ceiling can be raised to Tk 25,000.
Balance Caps: Accounts can now maintain a maximum balance of Tk 3 lakh, with monthly deposit limits set at Tk 25,000.
Credit Access and International Mobility
Perhaps the most significant reform is the introduction of credit cards for students. Historically, students were limited to basic debit cards, but they can now access credit to manage their cash flow. Furthermore, the central bank has streamlined the process for those pursuing higher education overseas. Students no longer need to open separate “student files” or specialized foreign accounts; the standard Student Banking account is now authorised for international use.
The policy also facilitates the legal receipt of remittances, allowing students with family members working abroad to receive funds directly into their accounts.
Comparative Overview of Student Banking Reforms
| Feature | Old Policy (School Banking) | New Policy (Student Banking) |
| Maximum Age Limit | Under 18 Years | Up to 25 Years |
| Monthly ATM Limit | Tk 5,000 | Tk 15,000 (Up to Tk 25,000 with request) |
| Card Type Available | Debit Cards Only | Debit & Credit Cards |
| Maximum Balance | Limited | Up to Tk 3 Lakh |
| Education Loans | Not Explicitly Defined | Available (Max 7% Interest) |
| International Use | Restricted | Authorised for Overseas Study |
Affordable Credit for Educational Materials
To support the purchase of essential academic equipment—such as laptops, books, and laboratory gear—banks are now encouraged to offer student loans. According to Arif Hossain Khan, Executive Director and Spokesperson for Bangladesh Bank, these loans will require a guardian’s guarantee but come with a capped interest rate. “To ensure education remains accessible, the maximum interest rate on student loans has been fixed at 7%,” Khan confirmed.
This holistic reform package signals the central bank’s commitment to integrating the younger generation into a digital-first economy while providing the financial flexibility required for modern higher education.