Financial Crime World

Myanmar Responds to Money Laundering Watchdog’s Blacklisting: A Detailed Look

Background

  • Myanmar added to FATF’s “gray list” for weak AML/CFT systems
  • International scrutiny on money laundering and terrorism financing risks

Central Bank’s Response

Improvements and Warnings

  • Myanmar Central Bank promises progress by April 2023
  • Strict warning against currency manipulation

Measures to Enhance Financial Sector

  • Updating regulatory frameworks
  • Enhancing financial intelligence unit operations
  • Strengthening customer due diligence

Collaboration with International Community

  • Preparing a report detailing progress against AML/CFT risks
  • Collaborating to build confidence in Myanmar’s financial regime

International Pressure

  • Heightened pressure on Myanmar due to human rights abuses allegations
  • Sanctions and restrictions from US, EU, Canada, and the UK

Previous Criticism and Concerns

  • Myanmar Central Bank faced criticism for lack of progress in addressing AML/CFT issues
  • Asian Development Bank urged prioritization of AML/CFT measures

Impact of FATF Blacklisting

  • Challenges in attracting foreign investment and financial assistance
  • Potential worsening economic difficulties in Myanmar

Government’s Commitment

  • Showing commitment to compliance with international financial regulations
  • Working closely with international community to address concerns

Myanmar Central Bank’s statement emphasizes, “We will work closely with the international community to address any concerns and build confidence in Myanmar’s anti-money laundering and counter-terrorist financing regime.”