Bangladesh Automated Cheque Processing System (Bacps)

Topics: Routing transit number, Cheque, Payment systems Pages: 3 (996 words) Published: May 21, 2009
Bangladesh Bank
Head Office, Dhaka
Payment Systems Division
PSD Circular No. 02/2009 Managing Director/Chief Executive Officers All scheduled banks in Bangladesh Date : 4 Falgun 1415 February 16, 2009

Dear Sir, Bangladesh Automated Cheque Processing System (BACPS) at the expanded Dhaka Clearing Region.

You are aware that Bangladesh Bank has been working to modernize the country’s payment system. The most visible step towards modernizing payment system is the establishment of the Bangladesh Automated Clearing House (BACH). Bangladesh Automated Cheque Processing System (BACPS) is one of two components of BACH. The other component of BACH is the Bangladesh Electronic Funds Transfer Network (BEFTN), which will be implemented immediately after implementing first phase of BACPS. Selected vendor has already started procuring necessary hardware and software for the BACPS solution. Detailed system specifications and operational configurations are being defined and calculated with a target of going live operation at expanded Dhaka Clearing Region with more than 1050 bank branches of 49 banks in and around the capital city during the second half of 2009. 2. The basic features of BACPS are the adoption of new cheque design standard with a Magnetic Ink Character Recognition (MICR) code line and the exchange of cheque-image and data instead of paper cheques for clearing and settlement purpose. Retention of the original paper cheque will become the responsibility of the presenting bank rather than the paying bank. Banks are required to make arrangement and develop infrastructures to meet the requirements of the new system. Bangladesh Bank will adopt necessary Regulation(s) and issue Operating Rules and Procedures in this regard. Standards of cheques for BACPS have already been circulated and banks have meanwhile been advised to take steps to print uniform standardized cheques with MICR line. Appropriate information to the banks about requirements they must meet to...
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