By Mu Dra - Feb 19, 2025
The military council enacted the Private Security Law on February 18, requiring domestic security companies to obtain a license in order to operate legally.
According to the law, any entity employing 10 or more security personnel must apply for a license. Private security service providers must submit their applications to the relevant supervisory committee within six months from the law’s enactment.
“They are now requiring security companies to apply for licenses. But it’s not as simple as just applying—there are financial disclosure requirements, deposit conditions, and other obligations. The law also seems to apply to any company employing at least 10 security personnel, not just private security firms. However, their main target is clearly security companies,” said a local private security service provider.
Businesses providing private security services must deposit at least1,000 lakhs MMK in Myanmar Economic Bank as financial security under the law. Foreign-owned companies must deposit the equivalent of 1,000 lakhs MMK in foreign currency.
A company or business division employs more than 10 security staff without a valid license would faces up to one year in prison and a fine ranging from 100 lakhs to 500 lakhs MMK.
Operating a private security service without a license carries a minimum prison sentence of one year and a maximum of three years, along with a fine of up to 100 lakhs MMK. Fines range from 1000 lakhs to 3000 lakhs MMK if the offender is a company or organization.
Additionally, foreign-owned companies that obtain a license must ensure that at least 75% of their security personnel are Myanmar nationals.
The Private Security Law also includes provisions allowing licensed private security firms to apply for permits to carry firearms and ammunition. If such a request is made, it will be submitted to the National Defense and Security Council for approval, according to the military council’s announcement.
