Bank Negara Wants to Impose a Limit on Cash Transactions
Bank Negara Malaysia (BNM) is looking at introducing a transaction limit for cash transactions in the country. BNM is still studying to either implement a single limit or multiple limits, according to the governor Datuk Nor Shamsiah Mohd Yunus.
Such a limit will be an additional measure to mitigate the risk of abuse of cash for criminal activities.
However, BNM has yet to reveal details on the implementation of the cash transaction limit. The scope of the transactions has yet to be defined as well.
Nor Shamsiah, who revealed this at a media briefing after the release of the the central bank's Annual Report 2018 on 27 March 2019, said the bank will be seeking a public consultation on the matter by the third quarter of this year.
The consultation is to get feedback on the implementation of a cash transaction limit - if a limit is desirable - and a suitable limit to be imposed.
One of the measures the central bank took to address the risk of money laundering is the reduction of the cash transaction reporting threshold to RM25,000 from RM50,000. It took effect on 1 Jan, this year