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Monaco Updates Laws Against Financial Crime

· 2 min read
Hannah Chang
Fraud Prevention Manager

Monaco, 1 February 2022

At the request of Monaco's Sovereign Prince, the Principality passed two new legislative bills on 31 January 2022, aiming to update Monaco's legal framework on money laundering, terrorist financing, and corruption.

Strengthening Monaco's Commitment​

The new laws come as Monaco reaffirms its role as a leader in the fight against financial crime.

  • Government Collaboration: Discussions between government representatives, industry professionals, and the National Council led to the legislative developments.
  • Importance of Credibility: Monaco's Minister of State, Pierre Dartout, emphasized the importance of maintaining Monaco's credibility and attractiveness as a global financial hub.

Key Provisions of the New Laws​

The legislative bills introduce several provisions to bolster Monaco's financial crime prevention efforts.

Enhanced Justice System Capabilities​

Monaco's justice system will now have increased capacity to confiscate illicitly acquired capital.

Expanded Scope of Offenses​

The legislation covers payment instruments, including "virtual currency," expanding the scope of offenses.

Obligations of Professionals​

The new laws outline the obligations of professionals required to assist with money laundering prevention efforts.

Extended List of Subject Professions​

The list of professions subject to these requirements will be extended based on the National Risk Assessment (NRA2).

Stakeholder Consultations​

Numerous consultations were held throughout the process to address concerns from industry stakeholders and the public. Monaco's government has emphasized the importance of striking a balance between effective risk management and maintaining Monaco's financial industry attractiveness.

Expected Impact​

The newly adopted laws are expected to further bolster Monaco's reputation as a global leader in financial crime prevention, ensuring transparency and accountability in the financial industry while maintaining its attractiveness.

First Meeting of the Committee for Coordination and Monitoring​

The first meeting of the Committee for Coordination and Monitoring of the National Strategy on Money Laundering, Terrorist Financing, Proliferation of Weapons of Mass Destruction, and Corruption will take place on 3 February 2022.