Papua New Guinea
Overview
Papua New Guinea’s modern AML/CFT framework is built around the Anti-Money Laundering and Counter Terrorist Financing Act 2015 together with the linked 2015 Criminal Code, Proceeds of Crime and UN Financial Sanctions reforms. The Bank of Papua New Guinea maintains the current primary legislation and implementation guidance layer.
FASU’s current guidelines include dedicated 2025 guidance on identifying and verifying beneficial owners, alongside enhanced CDD, PEP, recordkeeping and suspicious-reporting guidance. This is mapped as current implementation evidence rather than merely inferred from the statute.
FASU receives and analyzes suspicious matters and other reports under the 2015 Act. Current BPNG materials map reporting, recordkeeping, transaction monitoring and sector-specific compliance guidance through 2025-2026.
Compliance Calendar4
Requirement
International electronic funds transfer report
Authority / Report toFASU, Bank of Papua New Guinea
Deadline / triggerReport as soon as practicable and within a maximum of 10 working days from the transfer, or the last linked transfer.
Requirement
- Subject scope
- Financial institutions/reporting entities subject to PNG IEFT reporting.
- Trigger
- International electronic funds transfer of K20,000 or more, including linked transfers that collectively meet the threshold.
- Filing channel
- FASU prescribed IEFT report form/process.
Impact
- Consequences of non-compliance
- Failure to comply with the reporting requirement can constitute an offence.
- Enforcement authority
- FASU / Bank of Papua New Guinea
- Operational impact
- Aggregate linked IEFTs and preserve a filing workflow with a ten-working-day hard stop.
Requirement
Suspicious matter report
Authority / Report toFinancial Analysis and Supervision Unit (FASU), Bank of Papua New Guinea
Deadline / triggerReport as soon as practicable and within a maximum of 5 working days.
Requirement
- Subject scope
- Financial institutions/reporting entities subject to Papua New Guinea AML/CTF reporting duties.
- Trigger
- Reasonable grounds arise to suspect information is relevant to money laundering, terrorist financing, sanctions offences, a foreign indictable offence or criminal property.
- Filing channel
- FASU prescribed Suspicious Matter Report process/form.
Impact
- Consequences of non-compliance
- Intentional or reckless failure to comply, or false/misleading reporting, is an offence under the AML/CTF reporting framework.
- Enforcement authority
- FASU / Bank of Papua New Guinea
- Operational impact
- Start the filing clock when reasonable grounds arise, escalate immediately and retain the FASU submission evidence.
Requirement
Threshold transaction report
Authority / Report toFASU, Bank of Papua New Guinea
Deadline / triggerReport as soon as practicable and within a maximum of 10 working days from the transaction, or the last linked transaction.
Requirement
- Subject scope
- Financial institutions/reporting entities subject to PNG threshold-transaction reporting.
- Trigger
- Cash or bearer negotiable instrument transaction of K20,000 or more, including linked transactions that collectively meet the threshold.
- Filing channel
- FASU prescribed Threshold Transaction Report form/process.
Impact
- Consequences of non-compliance
- Failure to comply with the reporting requirement can constitute an offence.
- Enforcement authority
- FASU / Bank of Papua New Guinea
- Operational impact
- Aggregate linked transactions, trigger at K20,000 and enforce a ten-working-day maximum.
Requirement
Risk-based AML/CFT controls, CDD and recordkeeping
Authority / Report toFASU / Bank of Papua New Guinea
Deadline / triggerMaintain risk assessment, CDD/beneficial-owner identification, ongoing monitoring, internal controls and records for the periods required by the applicable law and sector rules.
Requirement
- Subject scope
- Reporting entities within Papua New Guinea’s AML/CTF perimeter.
- Trigger
- Continuous while carrying on covered business; enhanced measures apply when higher-risk customers, products, transactions or relationships are identified.
- Filing channel
- Internal AML/CFT programme, CDD/beneficial-owner files, monitoring, escalation and retained evidence; supervisory submissions apply when separately required.
Impact
- Consequences of non-compliance
- Control, CDD or recordkeeping failures can attract supervisory, administrative and/or criminal consequences under the applicable AML/CFT framework.
- Enforcement authority
- FASU / Bank of Papua New Guinea
- Operational impact
- Map the control library to the exact sector rule and preserve auditable evidence of CDD, beneficial ownership, monitoring, escalation, training and record retention.
Authorities & FIU1
FATF Assessment
Measures how fully the jurisdiction has implemented FATF’s technical requirements. It does not measure practical effectiveness.
Measures whether the AML/CFT system achieves its intended results in practice. Follow-up reports do not normally replace these ratings.
Explore 40 FATF RecommendationsSee every Technical Compliance rating and what it means.+
Explore 11 Immediate OutcomesSee how FATF rates whether the AML/CFT system works in practice.+
Regulatory Timeline38
Papua New Guinea’s Anti-Money Laundering and Counter Terrorist Financing (Amendment) Act 2026, Act No. 15 of 2026, was made by the National Parliament on 1 September and certified on 30 September 2026. It amends the risk-based AML/CTF programme and ongoing-due-diligence provisions, inserts new section 26A requiring enhanced customer due diligence where a customer’s beneficial owner is a politically exposed person and reasonable measures to establish and verify the source of assets or wealth of the customer and beneficial owner, and also adjusts electronic-funds-transfer CDD and suspicious-matter-reporting provisions. The official Act reviewed in this pass does not provide a commencement date, so this event does not infer one.
Papua New Guinea’s Criminal Code (Amendment) Act 2026, Act No. 16 of 2026, was made by the National Parliament on 1 September and certified on 30 September 2026. Among broader criminal-law amendments, it revises the terrorist-financing offence, including financing travel for terrorism or terrorist training, and inserts new sections 508K and 508L criminalising proliferation financing of weapons of mass destruction and the provision of services in relation to WMD. The official Act reviewed in this pass does not provide a commencement date, so this event does not infer one.
Papua New Guinea’s United Nations Financial Sanctions (Amendment) Act 2026, Act No. 18 of 2026, was made by the National Parliament on 1 September and certified on 30 September 2026. It adds a mechanism for proposing designations to the UN Security Council, broadens prohibitions on dealing with assets and making assets or financial services available to designated persons or entities, adds on-site inspection powers and creates a dedicated enforcement part with formal warnings, penalty notices, enforceable undertakings, injunctions and non-compliance notices. The official Act reviewed in this pass does not state a commencement date, so none is inferred.
FATF added Papua New Guinea to its list of jurisdictions under increased monitoring.
FATF revised Recommendation 16 to standardise payment information and strengthen fraud/error controls in cross-border payments.
Current relationship. This is regional assessment network participation, not direct FATF membership. The GLOBAL standard remains separate from evidence of domestic implementation.
FATF Global Network ↗FATF amended Recommendation 1 and related interpretive material to strengthen proportionality and simplified measures under the risk-based approach.
Current relationship. This is regional assessment network participation, not direct FATF membership. The GLOBAL standard remains separate from evidence of domestic implementation.
FATF Global Network ↗FATF revised Recommendations 4, 30, 31 and 38 and related interpretive material to make asset recovery a stronger operational priority, expand tools to trace and confiscate criminal property and improve domestic and international cooperation.
Current relationship. This is regional assessment network participation, not direct FATF membership. The GLOBAL standard remains separate from evidence of domestic implementation.
FATF Global Network ↗At its February 2023 Plenary FATF revised Recommendation 25 and its Interpretive Note to strengthen transparency and beneficial-ownership requirements for trusts and similar legal arrangements, complementing the 2022 strengthening of Recommendation 24 for legal persons.
Current relationship. This is regional assessment network participation, not direct FATF membership. The GLOBAL standard remains separate from evidence of domestic implementation.
FATF Global Network ↗FATF strengthened Recommendation 24 on beneficial ownership transparency for legal persons.
Current relationship. This is regional assessment network participation, not direct FATF membership. The GLOBAL standard remains separate from evidence of domestic implementation.
FATF Global Network ↗FATF amended Recommendations 1 and 2 and their Interpretive Notes so countries and covered private-sector entities must identify, assess and mitigate risks of breaches, non-implementation or evasion of proliferation-related targeted financial sanctions.
Current relationship. This is regional assessment network participation, not direct FATF membership. The GLOBAL standard remains separate from evidence of domestic implementation.
FATF Global Network ↗The Basel Committee revised its ML/TF risk-management guidelines to add principles for information exchange and cooperation between prudential and AML/CFT supervisors in authorisation, ongoing supervision and enforcement.
A Basel supervisory publication does not become domestic law merely because it is GLOBAL. National adoption, supervisory use or incorporation must be evidenced by a LOCAL milestone or source.
Basel Committee on Banking Supervision ↗The Egmont Group's official Member FIU Information register records Papua New Guinea's FIU admission date as 2019-07-03.
FATF adopted detailed implementation requirements for virtual assets and VASPs in June 2019, including the application of wire-transfer information requirements commonly described as the Travel Rule. This operationalised the virtual-asset perimeter introduced through the 2018 Recommendation 15 revision.
Current relationship. This is regional assessment network participation, not direct FATF membership. The GLOBAL standard remains separate from evidence of domestic implementation.
FATF Global Network ↗In October 2018 FATF revised Recommendation 15 and added the definitions of virtual asset and virtual asset service provider, formally bringing virtual-asset activity into the global AML/CFT standards architecture. Detailed implementation requirements followed in 2019.
Current relationship. This is regional assessment network participation, not direct FATF membership. The GLOBAL standard remains separate from evidence of domestic implementation.
FATF Global Network ↗FATF removed Papua New Guinea from its on-going global AML/CFT compliance monitoring process.
The 2015 AML/CTF Act and linked legislation created the modern statutory framework and established FASU as the national financial-intelligence/compliance unit.
FATF identified Papua New Guinea in its on-going global AML/CFT compliance process.
The Basel Committee issued Sound management of risks related to money laundering and financing of terrorism, superseding its 2001 CDD and 2004 consolidated KYC papers and integrating ML/TF risk management with prudential supervisory expectations.
A Basel supervisory publication does not become domestic law merely because it is GLOBAL. National adoption, supervisory use or incorporation must be evidenced by a LOCAL milestone or source.
Basel Committee on Banking Supervision ↗FATF adopted a consolidated revised set of 40 Recommendations integrating AML, CFT and proliferation-financing safeguards.
Current relationship. This is regional assessment network participation, not direct FATF membership. The GLOBAL standard remains separate from evidence of domestic implementation.
FATF Global Network ↗Bank of Papua New Guinea states Papua New Guinea joined the APG in 2008.
Resolution 1737 imposed binding measures concerning Iran’s proliferation-sensitive nuclear activities, including an asset freeze on designated individuals and entities. Together with the DPRK regime, it forms a foundational UN counter-proliferation targeted-financial-sanctions architecture.
UN Members agree to accept and carry out Security Council decisions. This current Charter relationship is not proof of the jurisdiction’s domestic implementation, nor a claim about its membership status on the historical event date.
UN Charter · Article 25 ↗Following the DPRK nuclear test, Resolution 1718 imposed binding sanctions including an asset freeze on designated persons and entities connected to the nuclear programme. It became a central UN targeted-financial-sanctions pillar for counter-proliferation financing.
UN Members agree to accept and carry out Security Council decisions. This current Charter relationship is not proof of the jurisdiction’s domestic implementation, nor a claim about its membership status on the historical event date.
UN Charter · Article 25 ↗FATF added a ninth Special Recommendation addressing cash couriers and cross-border movement of currency.
Current relationship. This is regional assessment network participation, not direct FATF membership. The GLOBAL standard remains separate from evidence of domestic implementation.
FATF Global Network ↗Resolution 1540 requires all States to adopt and enforce laws and domestic controls to prevent non-State actors from acquiring or using weapons of mass destruction and related materials. It forms a binding global legal pillar of the proliferation-financing control environment later reflected in FATF CPF standards.
UN Members agree to accept and carry out Security Council decisions. This current Charter relationship is not proof of the jurisdiction’s domestic implementation, nor a claim about its membership status on the historical event date.
UN Charter · Article 25 ↗The UN General Assembly adopted the United Nations Convention against Corruption on 31 October 2003. UNCAC addresses prevention of money laundering, laundering of corruption proceeds, confiscation and a dedicated asset-recovery framework; the Convention entered into force globally on 14 December 2005.
Current UN depositary relationship to 2003 UN Convention against Corruption. This is not a claim that the jurisdiction was already a Party on the GLOBAL event date; the national accession/ratification date is a separate LOCAL/STATUS fact.
UN Treaty Collection ↗FATF comprehensively revised its AML/CFT Recommendations, strengthening preventive measures and extending coverage.
Current relationship. This is regional assessment network participation, not direct FATF membership. The GLOBAL standard remains separate from evidence of domestic implementation.
FATF Global Network ↗The Basel Committee issued Customer due diligence for banks, setting minimum supervisory expectations for customer acceptance, identification, ongoing monitoring and risk management. It became an influential global banking KYC/CDD benchmark and was later reflected in FATF standards.
A Basel supervisory publication does not become domestic law merely because it is GLOBAL. National adoption, supervisory use or incorporation must be evidenced by a LOCAL milestone or source.
Basel Committee on Banking Supervision ↗FATF expanded its standards to terrorist financing through eight Special Recommendations.
Current relationship. This is regional assessment network participation, not direct FATF membership. The GLOBAL standard remains separate from evidence of domestic implementation.
FATF Global Network ↗Resolution 1373 requires all States to prevent and suppress terrorist financing, criminalise the provision or collection of funds for terrorist acts, freeze terrorist assets without delay and prohibit making funds or financial services available to terrorists and related entities.
UN Members agree to accept and carry out Security Council decisions. This current Charter relationship is not proof of the jurisdiction’s domestic implementation, nor a claim about its membership status on the historical event date.
UN Charter · Article 25 ↗The Palermo Convention was adopted on 15 November 2000 and broadened the international money-laundering framework beyond drug proceeds through criminalisation and preventive measures tied to transnational organised crime. It entered into force globally on 29 September 2003.
Current UN depositary status for 2000 Palermo Convention. The GLOBAL card remains visible as international context; no domestic treaty obligation is inferred from it.
UN Treaty Collection ↗The UN General Assembly adopted the International Convention for the Suppression of the Financing of Terrorism on 9 December 1999, creating the treaty framework for criminalising terrorist financing and international cooperation. It entered into force globally on 10 April 2002.
Current UN depositary relationship to 1999 Terrorist Financing Convention. This is not a claim that the jurisdiction was already a Party on the GLOBAL event date; the national accession/ratification date is a separate LOCAL/STATUS fact.
UN Treaty Collection ↗Resolution 1267 imposed an assets freeze and other targeted sanctions in the Taliban context and created the Security Council committee that became the foundation of the UN 1267 sanctions architecture. It is a key global precursor to modern terrorist-financing targeted financial sanctions.
UN Members agree to accept and carry out Security Council decisions. This current Charter relationship is not proof of the jurisdiction’s domestic implementation, nor a claim about its membership status on the historical event date.
UN Charter · Article 25 ↗FATF revised the Forty Recommendations to reflect evolving money-laundering methods and countermeasures.
Current relationship. This is regional assessment network participation, not direct FATF membership. The GLOBAL standard remains separate from evidence of domestic implementation.
FATF Global Network ↗Representatives of 13 financial intelligence units met in Brussels on 9 June 1995 and founded what became the Egmont Group. The milestone created the operational global network for FIU-to-FIU cooperation and exchange of financial intelligence.
Current profile relationship to the Egmont network. This does not imply membership in 1995; admission history is a separate LOCAL/STATUS fact.
Egmont Group · Member FIUs ↗FATF issued its original Forty Recommendations, establishing the first global AML standard framework.
Current relationship. This is regional assessment network participation, not direct FATF membership. The GLOBAL standard remains separate from evidence of domestic implementation.
FATF Global Network ↗The G7 established FATF in 1989 to examine and develop measures to combat money laundering. FATF became the central global standard-setting body whose recommendations are implemented through national and regional AML/CFT frameworks.
Current relationship. This is regional assessment network participation, not direct FATF membership. The GLOBAL standard remains separate from evidence of domestic implementation.
FATF Global Network ↗The Vienna Convention was adopted on 20 December 1988 and created the first treaty-level international obligation to criminalise laundering conduct linked to drug-trafficking proceeds, alongside confiscation and international-cooperation measures. It entered into force globally on 11 November 1990.
Current UN depositary status for 1988 Vienna Convention. The GLOBAL card remains visible as international context; no domestic treaty obligation is inferred from it.
UN Treaty Collection ↗The Basel Committee published a Statement of Principles for banks aimed at reducing the risk that banking institutions would be used by criminals or as channels for money laundering. This helped establish the preventive and supervisory side of AML alongside the emerging criminal-law framework.
A Basel supervisory publication does not become domestic law merely because it is GLOBAL. National adoption, supervisory use or incorporation must be evidenced by a LOCAL milestone or source.
Basel Committee on Banking Supervision ↗