During the Cabinet meeting held on June 15, the Armenian government approved the draft law that aims to ratify the multilateral agreement of competent authorities regarding the automatic exchange of information on financial accounts.

The mentioned agreement on the automatic exchange of information on financial accounts was initiated by the Organization for Economic Co-operation and Development (OECD).

As per the explanation provided, the Armenian government decided to establish a system for collecting, transmitting, and exchanging information on financial accounts held by foreign residents in Armenian financial institutions. Additionally, a system will be developed to receive information from foreign competent authorities regarding the bank accounts of Armenian residents in foreign countries. This initiative aims to facilitate the exchange of financial information between countries, allowing them to access information about their citizens' bank accounts held abroad. This exchange of information can support various purposes, including criminal investigations and the prevention of tax evasion.

Armenia is going to introduce a data collection standard for local banks to gather and transfer information on bank accounts held by Armenian citizens abroad. Armenia’s State Revenue Committee will also have access to similar data on foreign bank accounts held by Armenian citizens. One hundred nineteen countries have joined the agreement. Armenia will inform the OECD about its readiness to exchange information with certain countries.