BRAC Bank has completed Bangladesh’s first blockchain-based digital export transaction, reducing trade document processing time from approximately 40 days to just one day in a deal involving a domestic garment manufacturer and a British fashion retailer.
The transaction involved NAZ Bangladesh Ltd, a knitwear manufacturer and corporate customer of BRAC Bank, exporting ready-made garments to UK-based retailer Matalan. The deal marks a significant development in Bangladesh’s efforts to modernize international trade operations through blockchain technology and electronic documentation.
BRAC Bank acted as the remitting bank in Bangladesh, while Lloyds Bank served as the collecting bank in the United Kingdom. The transaction used technology provided by Enigio, which enabled participating organizations to create, transfer, and manage original trade documents electronically.
The blockchain-based system reduced the document processing period from 40 days to one day, demonstrating how digital trade infrastructure can accelerate international export documentation and improve operational efficiency.
Electronic Bills of Lading Replace Paper Documentation
The transaction involved the electronic creation and transfer of original trade documents, including an electronic bill of lading (eBL) and a digital promissory note.
A global shipping company issued the electronic bill of lading, while Digital Trade Works coordinated the transaction between the participating organizations.
Under conventional documentary collection arrangements, original trade documents generally need to be physically transported between exporters, banks, importers, and other parties involved in international shipments. This process can introduce delays, administrative expenses, and additional operational risks.
The blockchain-enabled solution replaced these physical document exchanges with electronic transfers, allowing the participating banks and businesses to access and process the required documentation digitally.
The reported one-day completion time applies specifically to document processing rather than the entire export transaction or payment cycle. Nevertheless, the reduction represents a substantial improvement over the conventional 40-day document processing period cited for the deal.
The digital approach also improved transaction visibility and document security. Electronic records can help reduce the possibility of documents being lost, delayed, or modified without authorization, while providing participating parties with better access to transaction information.
Garment Exporters Could Benefit From Paperless Trade
The development has particular significance for Bangladesh’s ready-made garment industry, which depends heavily on international buyers and cross-border trade documentation.
Exporters frequently coordinate with overseas customers, shipping companies, banks, and financial institutions to complete documentary requirements. Delays in processing these documents can complicate commercial operations and increase administrative costs.
NAZ Bangladesh’s successful transaction with Matalan demonstrates how electronic documentation could simplify these processes.
The company’s managing director, Nasir Uddin Ahmed, highlighted the importance of speed and reliability for garment exporters. He considered the completed transaction with Matalan and the participating banking partners an important milestone for the industry.
He also indicated that paperless trade could improve efficiency and transparency in international business relationships.
Wider adoption of blockchain-based trade documentation could help Bangladeshi exporters reduce administrative burdens, improve transaction visibility, and strengthen their relationships with international buyers.
BRAC Bank and Lloyds Highlight Digital Trade Benefits
BRAC Bank’s managing director and chief executive, Tareq Refat Ullah Khan, described the transaction as a major step toward accelerating digital trade in Bangladesh.
He emphasized that the bank had become the first financial institution in the country to complete an end-to-end digital export documentary collection transaction using blockchain technology and an electronic bill of lading.
Lloyds also highlighted the commercial benefits of replacing conventional paper-based documentation with secure digital records. Surath Sengupta, managing director and head of transaction banking products at Lloyds, noted that the transaction demonstrated how digital trade systems could improve processing speed, transparency, and operational efficiency for businesses.
Representatives from the participating organizations also attended the transaction milestone. These included Su Ashworth, head of trade finance at Matalan; Alex Waites, chief sales officer at Enigio; and Merisa Lee Gimpel, founder and chief executive of Digital Trade Works.
Bangladesh Moves Toward Digital International Trade
The transaction highlights the growing potential of blockchain technology beyond cryptocurrency applications, particularly in international commerce, banking, and supply chain documentation.
By digitizing original trade documents and enabling secure electronic transfers, financial institutions can reduce dependence on physical paperwork and improve coordination among exporters, importers, and banking partners.
BRAC Bank‘s successful transaction provides an important example of how blockchain infrastructure can modernize traditional trade finance processes and support faster, more transparent cross-border commerce.
