Cambodia

New Documents

The Cambodia Financial Intelligence Unit published a report that states that the main role of the regulator is the collection and analysis of suspicious and cash transaction reports and the dissemination of that information to law enforcement.

Cambodia’s government released a national anti-money laundering and counterterrorist financing strategy that will be in effect from 2019 to 2023.

News

Enforcement Actions

0 Items Found


Important Facts

  • The U.S. State Department labels Cambodia as a major money laundering country. The jurisdiction is not a regional or an offshore financial center. However, there are several factors that contribute to the country’s significant money laundering vulnerability. These include: Cambodia’s weak and ineffective anti-money laundering regime; its large cash-based economy; porous borders; loose oversight of casinos; and a limited capacity to oversee the fast-growing financial and banking industries. A weak judicial system and endemic corruption also negatively impact enforcement. Additionally, Cambodia's deeply politicized judicial system and corruption undermines the country's capacity for effective enforcement. Both licit and illicit transactions, regardless of size, are frequently conducted outside of formal financial institutions and are difficult to monitor. Cash proceeds from crime are readily channeled into land, housing, luxury goods and other forms of property without passing through the formal banking sector. Cambodia has a significant black market for smuggled goods, including drugs and imported substances for local production of methamphetamines. Casinos along the borders of Thailand and Vietnam provide another potential avenue for money laundering.
-Source: 2018 International Narcotics Control Strategy Report (INCSR)
  • KYC Covered Entities: Banks, microfinance institutions, and credit cooperatives; securities brokerage firms and insurance companies; leasing companies; exchange offices/money exchangers; real estate agents; money remittance services; dealers in precious metals and stones; post offices offering payment transactions; lawyers, notaries, accountants, auditors, investment advisors, and asset managers; casinos and gaming institutions; non-governmental organizations (NGOs) and foundations
  • STR Covered Entities: Banks, microfinance institutions, and credit cooperatives; securities brokerage firms and insurance companies; leasing companies; exchange offices/money exchangers; real estate agents; money remittance services; dealers in precious metals and stones; post offices offering payment transactions; lawyers, notaries, accountants, auditors, investment advisors, and asset managers; casinos and gaming institutions; NGOs and foundations
  • Enhanced Due Diligence Procedures for PEPs: Foreign: Yes; Domestic: No
  • Money Laundering Criminal Prosecutions/Convictions: Prosecutions: 0 (2015); Convictions: 0 (2015)
-Source: 2016 International Narcotics Control Strategy Report (INCSR)

Rankings

FATF i | 2013 Methodology

Technical Effectiveness
Compliant : 2 High : 0
Largely Compliant : 21 Substantial : 1
Partially Compliant : 16 Moderate : 3
Non-Compliant : 1 Low : 7

A "graylisted" country as of Feb. 22, 2019. Cambodia's technical compliance was re-rated in a Aug. 6, 2019 follow-up report

BASEL i

Rank : 11/141
Score : 7.1/10

TRANSPARENCY INTERNATIONAL i

Rank : 162/180
Score : 20/100

Tax Justice Network i

Rank : N/A
Score : N/A