Thailand Cracks Down on Bank Transactions Linked to Myanmar Junta

Thailand's government is set to meet with commercial banks and state agencies next week to investigate transactions allegedly linked to weapons purchases by Myanmar's junta. The meeting aims to ensure proper due diligence and transaction scrutiny, reflecting concerns raised by a U.N. expert's report on funds moved via Thai lenders.

Thailand's government will hold a meeting next week with commercial banks and state agencies to scrutinize transactions allegedly used to purchase weapons by Myanmar's junta, the Thai Foreign Minister announced on Thursday. The initiative follows concerns raised by a U.N. report highlighting a surge in money moved via Thai banks for arms purchases used by Myanmar's military against civilians.

Foreign Minister Maris Sangiampongsa emphasized the need for banks to follow due diligence processes during the ministry's meeting on July 24, which aims to ensure proper scrutiny of financial transactions. He responded to inquiries from the parliament's national security committee seeking clarification on alleged arms-related fund transfers.

Myanmar is currently in a civil war, with the military clashing against ethnic minority armies and a resistance movement loyal to a shadow government. Despite accusations of human rights violations, the military has dismissed such claims as western disinformation. The U.N. report indicated that $120 million were transferred via Thai banks for weapons in 2023, double the amount from the previous year.

Maris reiterated Thailand's stance against supporting transactions violating human rights or imposing economic sanctions on Myanmar. The central bank is considering collaborating with international and local agencies to create a database of companies linked to Myanmar's junta. The five Thai banks named in the U.N. report have not yet responded to requests for comment.

(With inputs from agencies.)