Andorra Advances Fight Against Money Laundering and Terrorism with New Criminal Code Amendments

The Government of Andorra has taken a significant step towards aligning its laws with international standards by approving changes to its Criminal Code aimed at combating money laundering and terrorism financing.

Background

In 2011, Andorra ratified the Monetary Agreement with the European Union (EU), which incorporated the EU directive on preventing the misuse of financial systems for money laundering or terrorist financing into its legal system. However, the country has faced pressure from international organizations to strengthen its anti-money laundering and counter-terrorism laws.

New Classification System for Tax Crimes

The latest amendments introduce a new classification system for tax crimes, including:

• Base crimes: those involving sums of €50,000 or less
• Crimes committed with aggravating circumstances: involving sums over €150,000
• Crimes perpetrated by criminal organizations

This new system will help address concerns and demonstrate Andorra’s commitment to maintaining its reputation as a reliable financial hub while meeting international obligations.

New Category of Crime: Financing Illegal Political Parties and Public Organizations

The revised Criminal Code also introduces a new category of crime: financing illegal political parties and public organizations. This move is seen as an important step in preventing the misuse of financial systems for political purposes.

Next Steps

Andorran Minister of Finance Jordi Cinca announced that the proposed amendments will soon be submitted to the Andorran Parliament for approval. The successful implementation of these changes will further solidify Andorra’s position as a responsible and compliant jurisdiction in the fight against money laundering and terrorism financing.