FATF urges increased due diligence for Myanmar amid high-risk status

FATF has recommended enhanced due diligence measures for risks arising from Myanmar, maintaining its status as a high-risk jurisdiction. The RBI has issued the advisory based on FATF's guidelines

The Financial Action Task Force (FATF), a global body dealing with issues such as money laundering and terror financing, has advised its members to step up due diligence for the risks arising from Myanmar, according to the Reserve Bank of India (RBI).

 

The RBI, in a statement, said Myanmar was added to the list of High-Risk Jurisdictions subject to a Call for Action in October 2022. The status of Myanmar in the list of countries subject to a call for action remains unchanged. The enhanced due diligence measures should be proportionate to the risk arising from Myanmar.

 

FATF has advised member countries that while applying enhanced due diligence, they should ensure that flows of funds for humanitarian assistance, legitimate Non-Profit Organisation (NPO) activities, and remittances are not disrupted.

 

 

The Financial Action Task Force (FATF) is an inter-governmental body established in 1989 by the Ministers of its member jurisdictions. Its objectives are to set standards and promote the effective implementation of legal, regulatory, and operational measures for combating money laundering, terrorist financing, and other related threats to the integrity of the international financial system, the RBI said. 

 

FATF had earlier identified some jurisdictions as having strategic deficiencies in their regimes to counter money laundering, terrorist financing, and proliferation financing. These jurisdictions were placed under Increased Monitoring and developed action plans with FATF to address the issues. Some of the jurisdictions identified include Algeria, Angola, Bulgaria, Cameroon, Côte d'Ivoire, Croatia, and the Democratic Republic of the Congo.

 

As per the FATF public statement on June 13, 2025, Bolivia and the Virgin Islands (UK) have been added to the list of jurisdictions under Increased Monitoring, while Croatia, Mali, and Tanzania have been removed from this list based on a review by the FATF, the RBI added.