MYANMAR’S BANKING SECTOR SCORES IMPROVED COMPLIANCE RATINGS

In a significant development for Myanmar’s financial sector, the country has made notable progress in implementing anti-money laundering and combating the financing of terrorism (AML/CFT) measures. Following its 2018 Mutual Evaluation Report, Myanmar has been re-rated on several key recommendations.

Progress Made Across Key Areas

According to industry experts, the country has achieved significant improvements across four key areas:

• Recommendation 10: Shifted from Partially Compliant to Largely Compliant
• Recommendations 12 and 13: Both moved from Partially Compliant to Largely Compliant
• Recommendations 14 and 24: Transitioned from Non-Compliant to Partially Compliant

New Challenges Arise

However, Myanmar’s banking sector has also faced new challenges arising from the Financial Action Task Force (FATF) obligations under Recommendation 15. As a result, the country’s compliance level has been re-rated from Largely Compliant to Partially Compliant.

Continued Monitoring and Reporting Requirements

Despite this adjustment, Myanmar will continue to be monitored closely by the Asia-Pacific Group on Money Laundering (APG), which will track the country’s progress in strengthening its AML/CFT measures. As such, Myanmar will remain in enhanced follow-up, with regular reporting requirements to demonstrate continued improvements in its compliance efforts.

Conclusion

In summary, while Myanmar has made significant strides in implementing AML/CFT measures, it still faces challenges in complying with FATF obligations. The country will continue to be monitored closely by the APG and is expected to maintain a high level of transparency and cooperation in its efforts to strengthen its financial sector.