Vietnam AML & Sanctions Compliance - ANQA

Vietnam AML & Sanctions Compliance

Navigate Vietnam's evolving financial regulatory landscape with Anqa's comprehensive compliance solutions designed for Southeast Asia's fastest-growing economy.

Regulatory Framework

Vietnam's AML/CFT framework is primarily governed by the Law on Anti-Money Laundering No. 07/2012/QH13 and various decrees and circulars issued by regulatory authorities. The framework continues to evolve as Vietnam addresses FATF recommendations.

  • State Bank of Vietnam (SBV) - Central bank
  • Anti-Money Laundering Department (AMLD) - Financial intelligence unit
  • Ministry of Public Security - Law enforcement
  • State Securities Commission (SSC) - Securities regulator

FATF Status

★ ★ ★ ★ ★
Partially Compliant

Vietnam is a member of the APG and has made progress in strengthening its AML/CFT framework. However, the country continues to address technical deficiencies and implementation effectiveness challenges.

Compliance Requirements

Core Obligations

  • CDD/KYC: Financial institutions must identify and verify customers using reliable, independent sources. Enhanced due diligence required for high-risk customers, including PEPs.
  • Transaction Monitoring: Financial institutions must implement systems to monitor transactions for suspicious patterns, with focus on high-risk customers and activities.
  • Record Keeping: Minimum 5-year retention period for all customer records and transactions.
  • Reporting: Suspicious Transaction Reports (STRs) must be filed with the AMLD. High-value transaction reports required for transactions exceeding VND 300 million.
  • Risk Assessment: Implement documented risk assessment approaches at customer, product, and institutional levels.

Key Challenges

  • Cash Economy: Predominantly cash-based economy limiting transaction visibility.
  • Developing Regulatory Framework: Evolving regulations requiring adaptive compliance approaches.
  • Cross-Border Trade: Extensive border with multiple countries creating trade-based money laundering risks.
  • Limited Enforcement Resources: Constrained supervision capacity despite regulatory framework improvements.
  • Digital Banking Growth: Rapid expansion of digital financial services creating new compliance challenges.

Sanctions Considerations

Vietnam implements UN sanctions through domestic regulations. Financial institutions must screen against international sanctions lists, with particular attention to North Korea-related sanctions due to historical diplomatic and trade ties.

Vietnam's strategic position in regional trade flows and its growing export economy create potential sanctions evasion risks. Financial institutions must maintain enhanced due diligence for transactions with sanctioned jurisdictions, particularly in relation to dual-use goods and technology.

Key Compliance Challenges

Understanding the unique obstacles facing financial institutions in Vietnam

1

Cash Economy Prevalence

Vietnam remains a predominantly cash-based economy, with a significant portion of transactions occurring outside the formal financial system, creating challenges for transaction monitoring and source of funds verification.

2

Evolving Regulatory Framework

Vietnam's AML/CFT regulatory framework is still developing, with ongoing updates to laws and regulations requiring adaptive compliance approaches and continuous monitoring of changes.

3

Cross-Border Trade Risks

Vietnam shares borders with China, Laos, and Cambodia, creating significant cross-border trade flows that may be vulnerable to trade-based money laundering and informal value transfer systems.

4

Vietnamese Name Complexity

Vietnamese naming conventions present challenges for effective sanctions and PEP screening, with unique linguistic characteristics and the prevalence of common surnames creating high false positive rates.

5

Sanctions Compliance Complexity

Vietnam's historical diplomatic and trade relations with countries subject to international sanctions create potential sanctions evasion risks requiring enhanced due diligence processes.

6

Digital Transformation Acceleration

Vietnam is experiencing rapid digital financial service adoption, with expanding e-wallet usage and mobile banking creating compliance challenges as regulatory frameworks adapt to new technologies.

Anqa's Approach for Vietnam

Our comprehensive AML solution tailored for Vietnam's unique regulatory landscape and market requirements.

1

Digital KYC & Onboarding Platform

Electronic KYC integration with Vietnam's identity verification systems, centralized repository, and assisted onboarding tools for agents and field staff.

2

Customer Risk Assessment Engine

Five-dimensional risk classification with Vietnam-specific parameters and behavior-driven risk adjustments aligned with local regulatory requirements.

3

Sanctions & Watchlist Screening

Comprehensive screening with Levenshtein and phonetic matching algorithms optimized for Vietnam's naming conventions and local watchlists.

4

Loan Application & Approval

Automated loan origination with offline support for rural areas and integration with KYC modules designed for Vietnam's financial ecosystem.

5

Compliance Workflow Platform

Centralized case management with customizable workflows aligned with Vietnam's regulations and reporting requirements.

6

Deployment & Pricing

No setup fees, modular pricing, cloud-based with scalable licensing (user or transaction-based).

Vietnam — AML & Compliance FAQs

  • In Vietnam, AML compliance is overseen by the State Bank of Vietnam (SBV) and the Anti-Money Laundering Department under the Law on Prevention and Combat of Money Laundering 2022. These authorities regulate banks, fintech companies, and other reporting entities to ensure adherence to Vietnam’s national AML/CFT framework.

  • Businesses in Vietnam must implement thorough customer due diligence (CDD), monitor transactions for suspicious activities, and report Suspicious Transaction Reports (STRs) to the SBV’s Anti-Money Laundering Department. Following the updated State Bank of Vietnam AML guidelines and mastering how to submit suspicious transaction report Vietnam are key steps to maintaining full Vietnam AML compliance.

  • An STR must be submitted to the State Bank of Vietnam when there are reasonable grounds to suspect that a transaction involves proceeds of crime, money laundering, or terrorism financing. Understanding the process for how to submit suspicious transaction report Vietnam promptly ensures businesses fulfill their Vietnam AML compliance obligations under the 2022 law.

  • Yes. Fintech platforms, digital wallet providers, and online payment services must fully comply with Vietnam AML compliance requirements. They must conduct risk-based KYC onboarding, monitor transactions continuously, and comply with AML laws for digital wallets Vietnam as enforced by the SBV.

  • Anqa Compliance offers efficient, mobile-first compliance solutions tailored for Vietnamese businesses. Our platform simplifies KYC onboarding aligned with KYC verification for fintech Vietnam standards, automates suspicious transaction monitoring, and streamlines STR reporting to the SBV — enabling businesses to maintain seamless Vietnam AML compliance.

Dig Deeper – Country Compliance in Focus

Gain country-specific expertise with Anqa’s tailored AML and sanctions intelligence. Leverage our technology, risk-based strategies, and deep regional knowledge to stay ahead of regulatory expectations.

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