List of Countries where Forex Trading is Banned

My regular readers would know that I have been promoting various online and offline money-making products on this blog for the past six years. This includes products in the online currency trading segment (Read our beginners guide to online Forex trading here) as well.

I had also published a post on Forex FAQs to explain a few risks that come with Forex trading which included legality of the same and risk v/s reward aspects. However, I thought of writing this post on countries where Forex trading is totally banned by law so that people are aware of what they are attempting to do before signing up with any Forex trading sites. I thought, I have the responsibility to do so because I still promote these products via banners because I can’t selectively display them for certain countries.

forex trading banned countries

Forex Trading Banned Countries

According to what I read on various forums and what I have seen from various financial fraud regulators sites, the following are the list of countries where online Forex trading is banned (read below for clarification on what’s meant by ‘ban’).

Bosnia & Herzegovina
British Columbia (Canada)
China (Strict regulations if not total ban)
Ivory Coast
North Korea
Quebec (Canada)
South Korea
Sri Lanka (Recently relaxed but not confirmed)
St. Helena

Further clarification on ban categories

The ban or inability to do Forex trading could be due to the following financial regulations:

  • Some regulators ban any kind of overseas transactions via anti-money laundering laws
  • Controlled and regulated forex transactions via stipulated guidelines – this is the case where Forex trading is still allowed under certain conditions
  • Ban on using credit cards to fund or withdraw deposits in foreign currency
  • Ban on using a domestic banking account to fund overseas transactions
  • Inability to withdraw proceeds from online forex trading entities to your account
  • Various anti-terrorism laws that curb forex transactions

Do your Homework first

When you sign up with the online forex trading websites, your agent will never assure you that it’s legal in your country. Instead, they may say that there’re a number of traders that we have got in your country. They will never ever take any responsibility for your transactions because the onus is on yours.

Hence please check your country’s laws before taking further steps. You could land up in jail if you run after some quick bucks without knowing the rules and regulations. Also, please note that a ban doesn’t mean that you can’t access a Forex site. You will still be able to do but it’s your duty to check if Forex trading is really banned by law in your country.

As an alternative to open online Forex trading, one could always consider mechanisms such as currency future trading as explained in a recent post. These are completely legal mechanisms within the financial laws of every country.

Some references

Foreign Exchange Controls
RBI notification on online Forex trading


  1. Will there be a loss of Capital for these banned countries?

  2. Forex is a gamble for these countries and they do not prioritize capitalism. There are different norms in every state is just that the perspective always contradicts with the goals and aims.

    • Indeed it’s a gamble much like stocks trading on margin. The real problem is that illegal Forex trading is a big threat to the economy other other countries from where people are signing up for these schemes.

      • Forex trading is not “illegal”. How’s it a threat? It’s just normal capitalism. India’s still stuck in a socialist mindset. We’re importing oil and gold like crazy, and somehow trading in forex is bad?

  3. Banning forex help in reducing the illegal funding but it is a big disadvantage for the people who sometimes need urgent money. I think they to settle some sort of intelligence to counter any illegal funding so that common people take the advantage of this service.

    • Prince, Those who’re in need of urgent money should never take the gambling route 🙂 Further, even if you want to do so, one needs to stick with whatever is legal in own country. For example, trading in Forex futures is a similar approach and it’s permitted in India.

  4. Why these countries are banned?

  5. Ajith, but you say forex futures are permitted to trade in India. You mean to say the currency pairs paired with INR like GBP/INR, USD/INR etc., Please correct me if am wrong.

    I am really very much interested in forex trading business, what would be the best thing for me to move to countries where forex trading is allowed. And suppose if i want to bring back the income to my home country then what are the rules implicated. Kindly help an aspirant Indian Trader.

    • Ashvini,
      Yes, only currency futures trading is permitted in India and that too only selected pairs like USDINR, EURINR, JPYINR etc.

      Trading in currency futures or stock futures in India is a much safer and legally permitted option in India. It’s a regulated market that way.

      Of course, any type of trading involves risk to your capital.

      • Dear Ajit,

        I need to do forex trading,i have good strategy also.please help what i can do?



  6. I am new here and also new to forex trading. I am learning about forex trading. But people are making me confused. Some people are saying that forex trading for individuals is illegal and some other say legal. Which is correct?

    Is forex trading legal for individuals or not?

    please take me to the light of real fact about forex trading, because I am planning to do that forex trading

  7. Nice!

  8. Burma and Myanmar is the same country.

  9. please can you answer this,
    i am in UK right now as a student for a year, do you think its legal for me to perform Forex trading with a Uk Bank account by being an Indian citizen ?

  10. Is it allowed in Saudi Arabia?(Forex trading)

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