Bimstec adopts action plan to tackle illicit financial flows
Comparisons between Bimstec and Saarc are “misleading and misplaced”, says Bimstec chief.
The Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation (Bimstec) has finalised an Action Plan to Prevent Illicit Financial Flows and a memorandum of understanding on capacity building to strengthen efforts against money laundering and terrorist financing across the region.
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), hosted by India's Department of Revenue under the Ministry of Finance in Shillong on Monday.
Delegates from all seven Bimstec member states – Bangladesh, Bhutan, India, Myanmar, Nepal, Sri Lanka and Thailand – reaffirmed their commitment to strengthening regional cooperation against money laundering, terrorist financing, proliferation financing and other emerging financial crimes.
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According to the Bimstec Secretariat, the meeting reviewed progress since the previous session and exchanged views on national AML/CFT developments, emerging risks and best practices.
Recognising the increasingly transnational and technology-driven nature of financial crime, member states stressed the need for stronger regulatory frameworks, timely information sharing, enhanced analytical capabilities, greater use of technology and closer public-private and regional cooperation.
The delegates also discussed how to better utilise Bimstec's observer status in the Asia/Pacific Group on Money Laundering (APG) to strengthen capacity building, promote knowledge sharing and improve member states' preparedness for upcoming Financial Action Task Force (FATF) mutual evaluations.
Emerging threats linked to virtual assets, fintech platforms, artificial intelligence, trade-based money laundering, online fraud and other cyber-enabled financial crimes also featured prominently in the discussions.
Meanwhile, Bimstec Secretary General Indra Mani Pandey said comparisons between Bimstec and the South Asian Association for Regional Cooperation (Saarc) are "misleading and misplaced" and undermine the regional grouping's interests.
Speaking at an interaction with members of the Diplomatic Correspondents Association, Bangladesh (DCAB) today (21 July), Pandey said Bimstec has evolved significantly since its establishment in 1997 and is poised to become a leading regional organisation in the Indo-Pacific.
He said the grouping was created to foster practical technical and economic cooperation between South and Southeast Asia and has the political backing of its members while remaining focused on development rather than political issues.
Pandey said Bimstec is undergoing reforms to become a more efficient and dynamic organisation, adding that stronger regional cooperation is essential for the Bay of Bengal region's development and security.
Describing Bimstec as "a real and present opportunity," he said its success would directly benefit Bangladesh and other member states.
Bangladesh currently chairs Bimstec, having assumed the rotating chairmanship at the sixth Bimstec Summit in Bangkok in April 2025.
