ADOPTION AND IMPACT OF CASHLESS PAYMENT SYSTEMS IN RURAL BANGLADESH: CHALLENGES, OPPORTUNITIES, AND POLICY IMPLICATIONS

This study aims to explore the challenges, opportunities, and policy implications of adopting cashless payment systems in rural Bangladesh, focusing on how digital financial services can promote economic development and financial inclusion in these areas. The study is based on an extensive literature review that includes journal articles, research papers, government reports, and credible news sources to analyze the factors influencing the adoption of cashless payment methods in rural Bangladesh. The findings show that, despite the increased use of mobile financial services, various challenges, including inadequate digital infrastructure, low financial literacy, cultural preferences for cash, and security concerns, impede the transition to a cashless society in rural areas. However, there is potential to improve financial inclusion, economic efficiency, and transparency. Countries such as India and Kenya have provided useful insights for integrating digital banking services in rural areas. The study closes with policy recommendations that include investing in digital infrastructure, financial literacy initiatives, adoption incentives, improving cyber security, and developing public-private partnerships to promote the transition to a cashless society in rural Bangladesh.