Nagad becomes Bangladesh’s fastest fintech unicorn

In a landmark development for Bangladesh’s financial technology sector, Nagad has achieved unicorn status, with its valuation crossing the $1 billion mark just four years after launch.

The state-linked mobile financial service, launched on March 26, 2019, through a strategic public-private partnership with the Bangladesh Post Office, is now officially the fastest-growing fintech in the country’s history to reach this milestone.

The achievement comes amid a broader push by the Bangladeshi government to digitise financial services, reduce reliance on cash, and bring underserved populations into the formal economy. Nagad’s rapid growth has positioned it as a critical pillar of this national strategy.

According to the company, Nagad currently has over 80 million registered users and facilitates average daily transactions of BDT 13 billion (approximately USD 120 million). These volumes place it among the top digital financial platforms in South Asia, contributing significantly to Bangladesh’s evolving digital economy.

The announcement was formally acknowledged at the Bangladesh Startup Summit 2023, where Nagad was conferred the title of “Fastest to Unicorn.” The recognition reflects not just the scale of the company’s operations but also the speed at which it captured market share in a country where financial inclusion had historically lagged.

Much of the early momentum behind Nagad has been attributed to its digital-first approach. The platform introduced Bangladesh’s first fully digital e-KYC system, enabling users to open accounts in under a minute using their national ID cards.

This significantly reduced onboarding costs and allowed rapid user acquisition. The company also implemented a USSD–App hybrid model to ensure mobile wallet access for users of both smartphones and basic feature phones—particularly vital in rural and semi-urban areas with limited internet connectivity.

Under the leadership of Md. Shafayet Alam, who served as Founding Executive Director and CEO until recently, Nagad expanded its infrastructure to reach the country’s unbanked population. Alam was instrumental in introducing innovations aimed at cost efficiency and nationwide accessibility.

“We focused on building a system that could deliver scale without compromising on affordability or inclusion,” Alam had said at a previous industry forum.

In addition to consumer outreach, Nagad has also played a major role in digitising Bangladesh’s informal economy. More than 300,000 small and micro enterprises were onboarded into the digital payment system through cost-free QR code integration, allowing merchants to accept payments without expensive hardware. This effort has helped bring informal transactions into the formal economy, with measurable contributions to GDP visibility.

Looking ahead, Nagad—now operating under new executive leadership—is preparing for the next phase of growth. Expansion into regional markets, the rollout of AI-driven micro-credit solutions, and deeper integration with government digital infrastructure are among the company’s immediate strategic goals.

Industry experts say Nagad’s trajectory is being closely watched as a model for inclusive digital finance. Its ability to align technological innovation with national development objectives has placed it at the forefront of South Asia’s fintech transformation.