Credit card spending by Bangladeshi consumers continued to gather pace, driven by robust retail purchases despite persistent inflationary pressures.

Domestic credit card transactions rose to Tk 42.88 billion in May 2026, up 10.85 per cent from Tk 38.68 billion in April, according to the latest data from Bangladesh Bank (BB).

On a year-on-year basis, spending increased 33.15 per cent from Tk 32.20 billion in May 2025, reflecting resilient consumer demand.

The latest figures suggest that consumer confidence in card-based payments remained strong during the month, with both domestic retail spending and overseas transactions maintaining steady growth, while the outstanding credit card balance indicates continued reliance on credit cards for household consumption.

BB data showed that nearly half of all domestic credit card transactions in May were made at department stores, highlighting consumers' preference for retail shopping.

According to the central bank, higher spending on essential goods amid inflation, promotional offers from banks, the convenience of department stores and wider acceptance of card payments likely contributed to the increase in transactions.

Cross-border spending by Bangladeshi cardholders also increased during the month. Total international transactions through credit, debit and prepaid cards rose 1.57 per cent month-on-month to Tk 8.12 billion in May from Tk 8.0 billion in April.

Credit card spending abroad by Bangladeshi users stood at Tk 4.24 billion in May, almost unchanged from Tk 4.25 billion a month earlier. Compared with May last year, however, overseas card spending increased 9.96 per cent.

Meanwhile, spending in Bangladesh using cards issued by foreign entities fell 4.95 per cent to Tk 3.12 billion in May from Tk 3.29 billion in April. The figure was Tk 2.77 billion in May 2025.

On a year-on-year basis, however, spending by foreign cardholders in Bangladesh rose 12.63 per cent, suggesting stronger inbound tourism and business activity.

The central bank data also showed that the total sanctioned credit card limit reached Tk 420.01 billion at the end of May, while outstanding balances stood at Tk 143.65 billion, indicating continued growth in credit card usage.

The geographical distribution of overseas card spending showed that the United States remained the top destination, accounting for 17.03 per cent of all cross-border transactions.

The United Kingdom ranked second with 9.06 per cent, followed by Thailand (8.85 per cent), Singapore (7.81 per cent), Saudi Arabia (7.47 per cent), India (6.89 per cent), Malaysia (5.08 per cent), the Netherlands (4.89 per cent), China (4.78 per cent), Canada (4.03 per cent), Australia (3.93 per cent) and Ireland (3.51 per cent). The remaining 16.67 per cent was spent in other countries.

Bangladesh Bank data also showed that the share of spending in Saudi Arabia almost doubled from 3.94 per cent in April to 7.47 per cent in May.

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