Financial Crime World

Andorra’s Banking Sector: A Comprehensive Guide

Located high in the Pyrenees on the border between France and Spain, the tiny principality of Andorra has long been a popular tourist destination and financial hub. With its robust economy and service-based industry, Andorra has attracted visitors and investors from around the world.

A Safe and Trusted Banking System

Andorran banks are considered safe and reliable, with a solid global reputation that is on par with neighboring EU jurisdictions. While the country has traditionally been known for its banking secrecy laws, this is no longer the case. In 2022, Andorra’s financial sector moved towards greater harmony with other jurisdictions regarding automatic exchange of information and cooperation on Know Your Customer (KYC) matters such as anti-money laundering.

The Four Main Banks in Andorra

Andorra has four main banks: Andbank, Banc Sabadell d’Andorra, Crèdit Andorrà, and Morabanc. Each bank offers a range of services, including commercial banking, private banking, asset management, wealth management, and online brokerage.

Andbank

  • Founded in 1930, Andbank is the oldest private banking firm in Andorra.
  • With branches in 11 countries worldwide, it provides private banking and asset management services.

Banc Sabadell d’Andorra

  • While the smallest bank in Andorra, its parent company, Banco Sabadell, is one of the “big four” Spanish banks.
  • It offers personal, business, and private banking plus asset management, wealth management, and related services.

Crèdit Andorrà

  • Founded in 1949, Crèdit Andorrà Financial Group has branches throughout Andorra and offers personal, business, and private banking.
  • It recently acquired Valbanc, completing the merger in 2022.

Morabanc

  • Renamed to Morabanc in 2011, this bank was originally founded in 1958 and has branches, cash points, and ATM terminals throughout Andorra.
  • It offers personal and business bank accounts alongside private banking, asset management, and online brokerage services.

How to Open a Bank Account in Andorra

Opening a bank account in Andorra is a straightforward process that requires a valid national identity document, such as a passport. Residents may need to provide proof of residence, while non-residents will require similar documentation as proof of residence in their country of domicile. Banks may also request additional financial information and reference letters.

Conclusion

In conclusion, Andorra’s banking sector offers a range of services and a safe and trusted environment for residents and non-residents alike. Whether you’re looking to open a bank account or invest in the principality’s economy, this article has provided valuable insights into the country’s financial system.