Employees of private security companies are required to report any information that could harm national security or disrupt law and order during their operations
Myanmar’s military government has introduced the Private Security Services Law, granting private security firms the right to apply for licences to carry weapons and ammunition while mandating cooperation with state security agencies when required. The law, enacted on 18 February and signed by junta chief Min Aung Hlaing, marks a significant move towards regulating the private security sector in the country.
The legislation requires private security firms to secure a licence within six months of its enactment. The new framework is designed to tighten restrictions on the sector while ensuring systematic cooperation between private security providers and state security forces. The law seeks to prevent the misuse of private security services amid ongoing political unrest in Myanmar.
Under the provisions, licensed security companies must collaborate with military security organisations under the supervision of relevant committees. Security firms are obliged to submit detailed information about their male and female security personnel, including personal details. The junta reserves the authority to inspect security personnel and conduct training sessions if deemed necessary.
Employees of private security companies are required to report any information that could harm national security or disrupt law and order during their operations. Failure to comply could result in up to two years in prison, a fine of 300,000 kyats, or both. The Central Committee will review all applications for weapon and ammunition licences before seeking final approval from the National Defence and Security Council.
The legislation also stipulates that businesses or subsidiaries employing more than 10 private security personnel must obtain a permit, even if their primary operations are unrelated to private security services. Foreign security firms operating in Myanmar are required to hire at least 75 per cent Myanmar nationals as security personnel.
Violations of the law carry stringent penalties. Companies operating without a licence, or those found purchasing, selling, or transferring business operations without Central Committee approval, could face up to three years in prison and fines of up to 10 million kyats. Organisations may be subject to fines ranging from 100 million to 300 million kyats for non-compliance.
Refusal to cooperate with the junta’s security directives is punishable by up to two years in prison or a fine of 50 million kyats. Companies found guilty of this offence face fines between 50 million and 100 million kyats.
As a financial safeguard, licence applicants must deposit at least 100 million kyats as business insurance with the Myanmar Economic Bank for the duration of their operation. Foreign firms must provide the equivalent amount in foreign currency as a fixed deposit.
According to the Myanmar Centre for Responsible Business’s 2022 report, more than 120 private security firms operate in the country, with 115 registered under the Directorate of Investment and Company Administration (DICA).
The law follows a 2021 coup that saw China propose a joint Myanmar-China security company, prompting the junta to establish a working committee in October 2024 to draft a memorandum of understanding for the venture.
The introduction of the Private Security Services Law signals the junta’s intent to consolidate control over private security operations while addressing security concerns amid ongoing political turmoil.
