Chile’s Financial Crime Trends: A Mixed Bag of Results in 2023
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A recent report by the Basel AML Index has revealed that Chile’s risk level of money laundering and terrorist financing has increased, despite being ranked as one of the lowest-risk countries in Latin America. The country scored 4.13 on the index, up from 4.03 reported a year earlier.
An Increase in Risk Level
While this increase may seem concerning, Chile still holds the distinction of being the second-lowest risk country in Latin America, behind only Uruguay. The Basel AML Index is a comprehensive measure that combines 16 different indicators to assess corruption, financial standards, political disclosure, and rule of law in various countries.
How the Index Works
The index uses publicly available data from sources such as:
- Financial Action Task Force (FATF)
- Transparency International
- World Bank
- World Economic Forum
The report serves as a starting point for further investigation into financial crime trends in Chile and other countries.
Stable but Vigilant
Despite the slight increase in risk level, the report suggests that Chile remains a stable and relatively low-risk destination for financial transactions. However, it is crucial for regulators and financial institutions to remain vigilant and proactive in combating money laundering and terrorist financing activities.
Key Takeaways
- Chile’s risk level of money laundering and terrorist financing has increased to 4.13 on the Basel AML Index.
- Despite this increase, Chile remains the second-lowest risk country in Latin America.
- Regulators and financial institutions must remain vigilant and proactive in combating financial crime activities.
- The report serves as a starting point for further investigation into financial crime trends in Chile and other countries.