BIMSTEC finalises regional action plan against illicit financial flows

BIMSTEC Member States have finalised an action plan to prevent illicit financial flows in the region alongside a Memorandum of Understanding (MoU) on capacity building to combat money laundering and terrorist financing.

The decisions were taken at the 14th Meeting of the BIMSTEC Sub-Group on Anti-Money Laundering and Combating the Financing of Terrorism (AML/CFT), held in Shillong, India, on Monday, said a press release issued by the BIMSTEC Secretariat on Tuesday.

The Department of Revenue under India's Ministry of Finance hosted the meeting, which brought together delegations from all seven BIMSTEC Member States.

The Member States also agreed to develop a BIMSTEC AML/CFT Work Plan for 2026-2028 and stressed the need to operationalise the BIMSTEC AML/CFT Contact Point Network to deepen cooperation among Financial Intelligence Units (FIUs) across the region.

During the meeting, the Member States reaffirmed their shared commitment to strengthening regional cooperation in combating money laundering, terrorist financing, proliferation financing and other evolving forms of financial crime.

The meeting underscored the need for stronger regulatory frameworks, enhanced public-private partnerships, improved analytical capabilities and closer regional and international cooperation to effectively address emerging financial crime challenges.

It also reviewed progress made since the 13th meeting of the Sub-Group and exchanged views on national AML/CFT developments, emerging risks, evolving typologies and good practices, the BIMSTEC Secretariat said.

Recognising the increasingly transnational and technology-driven nature of financial crime, the Member States stressed the importance of stronger regional cooperation, timely information sharing, capacity building and effective use of technology to reinforce national and regional AML/CFT frameworks.

The meeting also discussed ways to effectively leverage BIMSTEC's Observer Status in the Asia/Pacific Group on Money Laundering (APG) to enhance regional capacity building and facilitate greater knowledge sharing.

The initiative is also aimed at strengthening the preparedness of Member States for forthcoming mutual evaluations by the Financial Action Task Force (FATF).

Member States held substantive discussions on emerging financial crime risks associated with virtual assets, fintech platforms, artificial intelligence, trade-based money laundering, online fraud and other cyber-enabled financial crimes.

The delegations expressed appreciation to the Department of Revenue of India's Ministry of Finance for hosting the meeting and extending hospitality to the participants.

They also thanked the BIMSTEC Secretariat for its continued coordination and support in advancing cooperation among the Member States.

The Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation (BIMSTEC) comprises seven countries - Bangladesh, Bhutan, India, Myanmar, Nepal, Sri Lanka and Thailand.