The two-dimensional convection-diffusion-type equations are solved by using the boundary element method (BEM) based on the time-dependent fundamental solution. The emphasis is given on the solution of magnetohydrodynamic (MHD) duct flow problems with arbitrary wall conductivity. The boundary and time integrals in the BEM formulation are computed numerically assuming constant variations of the unknowns on both the boundary elements and the time intervals. Then, the solution is advanced to the steady-state iteratively. Thus, it is possible to use quite large time increments and stability problems are not encountered. The time-domain BEM solution procedure is tested on some convection-diffusion problems and the MHD duct flow problem with insulated walls to establish the validity of the approach. The numerical results for these sample problems compare very well to analytical results. Then, the BEM formulation of the MHD duct flow problem with arbitrary wall conductivity is obtained for the first time in such a way that the equations are solved together with the coupled boundary conditions. The use of time-dependent fundamental solution enables us to obtain numerical solutions for this problem for the Hartmann number values up to 300 and for several values of conductivity parameter. Copyright (C) 2007 John Wiley & Sons, Ltd.