Recent developments on “Anti-Money Laundering Law passed by National Assembly Cambodia”

Updated On : June 2020

The Phnom Penh Post published an article on National Assembly, passes money laundering law on 04 June 2020. It states that the Cambodian National Assembly (NA) on 4th June 2020, Thursday approved the draft law on Anti-Money laundering (AML) and terrorism financing.

As per the Financial Action Task Force (FATF) decision, Cambodia has to amend the law on anti-money laundering and terrorism financing before September.

As anticipated by the experts, significant improvements are required in the area of customer due diligence requirements, record keeping and reporting of suspicious transactions in the financial sector. It has also been mentioned that Banks and Financial Institutions are required to apply enhanced vigilance in business relationships and transactions involving high-risk third countries.

Banks addresses the obstacles in regulating risks involved in assessing the present AML status and determining susceptibilities. Disparate transactions and increasing complexities of fraud and cybercrimes compound the situation. To deal with these situations, banks to develop and maintain data privacy compliance, real-time monitoring of fraud, and prioritize compliance with the FATF regulations.

Hence the adoption of AML (Anti Money Laundering) technologies is turning into something of a global phenomenon, as Banks and financial institutions around the world increasingly see the need to comply with AML measures in order to remain trusted by the customers and more importantly to counter terrorist financing.