The Ministry of Home Affairs, operating under Myanmar’s State Administration Council (SAC), has submitted a draft law aimed at combating online financial fraud, which includes potential penalties up to life imprisonment and the death penalty. The proposal, reported by state-controlled media, is intended to create a legal framework for addressing a rise in cybercrime operations within the country.
The draft “Law on Combating Online Financial Fraud” outlines a system for mandatory information sharing between financial institutions, telecommunications service providers, and government agencies. Its stated goal is to facilitate the investigation and prevention of offenses such as online scams, money laundering, and other digital financial crimes.
According to provisions detailed in the bill, a central committee would be established to oversee the law’s implementation. The legislation specifies a range of punishments for individuals convicted of participating in or leading online fraud operations. While specific tiers of penalties were outlined, the most severe offenses could be punishable by life imprisonment or death, alongside significant financial penalties. Other offenses could carry prison sentences ranging from 10 to 20 years.
The submission of the bill comes as Myanmar has been identified by international bodies and neighboring countries as a significant hub for transnational cybercrime syndicates. These operations are often based in special economic zones and other territories along the country’s borders with China and Thailand, frequently in areas controlled by Border Guard Forces and other militias aligned with the military.
Neighboring governments, particularly China, have exerted pressure on the SAC to crack down on these scam centers, from which criminals have targeted citizens across Asia and globally. In response, authorities in Myanmar have conducted raids and extradited thousands of foreign nationals allegedly involved in these networks.
While the SAC has framed the proposed law as a necessary tool for law enforcement and national security, human rights organizations have expressed concerns. Critics argue that the broad language of the bill could potentially be used to suppress dissent, monitor activists, and access the private data of citizens under the pretext of combating financial crime. They point to the military’s history of using security-related legislation to target political opponents following the February 2021 coup.
The draft law is currently under review by the State Administration Council. If enacted, it would represent one of the country’s most stringent legal measures targeting cybercrime.
