Financial Crime World

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Liechtenstein Stands Strong Against Money Laundering and Terrorism Financing

For years, Liechtenstein has demonstrated its unwavering commitment to combating money laundering and terrorism financing (AML/CFT) by implementing strict guidelines and regulations. As an EEA member state, Liechtenstein has fully adopted the 4th and 5th EU Anti-Money Laundering Directives, as well as Regulation (EU) 2015/847 on information accompanying transfers of funds.

AML/CFT Framework

The country’s AML/CFT efforts are spearheaded by:

  • Law on Professional Due Diligence for the Prevention of Money Laundering, Organised Crime and Financing of Terrorism (Due Diligence Act; SPG)
  • Ordinance on Professional Due Diligence for the Prevention of Money Laundering, Organised Crime and Financing of Terrorism (Due Diligence Ordinance; SPV)
  • Register of Beneficial Owners, maintained by the Office of Justice

Monitoring Compliance

The Financial Market Authority (FMA) plays a pivotal role in monitoring compliance with AML/CFT obligations by:

  • Evaluating information from the SPG reporting system
  • Conducting on-site inspections
  • Taking swift action against non-compliant entities

Due Diligence Obligations

Financial institutions, trust service providers, and designated non-financial businesses and professions (DNFBPs) must adhere to strict due diligence obligations when dealing with clients, including:

  • Identifying and verifying clients, beneficial owners, source of funds, and source of wealth
  • Ongoing transaction monitoring
  • Filing reports of suspicious transactions

Financial Intelligence Unit (FIU)

The FIU is responsible for:

  • Receiving and analyzing reports of suspicion from persons subject to due diligence and public authorities
  • Analyzing general threats of money laundering, predicate offenses of money laundering, and financing of terrorism
  • Forwarding findings to the Office of the Public Prosecutor

International Recognition

Liechtenstein’s AML/CFT regime has been recognized by international organizations as a model of excellence. MONEYVAL published its fifth report on Liechtenstein in June 2022, praising the country’s strong supervisory approach and convergent understanding of money laundering and terrorist financing risks.

European Level Participation

At the European level, Liechtenstein actively participates in AML/CFT efforts through:

  • Membership in the European Banking Authority (EBA)
  • Membership in the AML CFT Standing Committee (AMLSC), where the FMA represents Liechtenstein as a non-voting member
  • Close collaboration with other national supervisory authorities to develop regulatory technical standards and guidelines

Commitment to Combating Money Laundering and Terrorism Financing

Liechtenstein’s commitment to combating money laundering and terrorism financing has earned international recognition, solidifying its position as a leader in this critical area.