Vietnam Enhances Anti-Money Laundering Framework with New Policies

Vietnam has introduced new policies to strengthen its framework against money laundering (ML) and the financing of terrorism (FT). Resolution No. 66.23/2026/NQ-CP, issued on July 24, amends and supplements certain provisions of the 2022 Law on Anti-Money Laundering and related guiding documents. The revisions specifically target key areas including the definition of beneficial ownership, the process of verifying customer information, transparency of legal arrangements, risk-based customer classification, and the frequency of customer information updates. These measures are intended to align with international standards, such as those set by the Financial Action Task Force (FATF), and to prevent the flow of illicit funds within Vietnam's financial system, thereby maintaining its integrity. As Vietnam experiences rapid economic growth, there has been increasing international pressure to enhance its anti-money laundering measures. A transparent financial system is crucial for attracting foreign investment and deepening integration with global financial markets. This resolution can be seen as part of the Vietnamese Communist Party's efforts to balance economic development with maintaining international credibility under its one-party system. Past concerns have included deficiencies in customer identification procedures at domestic financial institutions and instances of money laundering utilizing complex corporate structures. The current legal amendments aim to address these issues and bolster the deterrent against financial crimes. This is expected to enhance the credibility of Vietnam's financial market and foster a safer investment environment.