Financial Crime World

Croatia’s Efforts to Combat Terrorist Financing Receive Positive Assessment from MONEYVAL

Zagreb, Croatia - The Committee of Experts on the Evaluation of Anti-Money Laundering Measures and the Financing of Terrorism (MONEYVAL) has released a follow-up report highlighting Croatia’s progress in strengthening its anti-money laundering and terrorist financing systems.

Progress Made by Croatia

Since December 2021, Croatia has implemented various measures aimed at improving its framework for combating money laundering and terrorist financing. Key reforms include:

  • Amendments to the AML/CTF legislation to address gaps in customer due diligence measures, third-party reliance, and correspondent banking.
  • External accountants are now subject to AML/CTF obligations.
  • A disclosure system has been introduced for the transportation of cash.

Significant Progress Made

The report notes that Croatia has made significant progress in:

  • Adopting a national action plan
  • Introducing a registration regime for virtual asset service providers (VASPs)
  • Improving beneficial ownership registers
  • Streamlining access to information on legal persons
  • Changing sanctions for non-compliance with transparency requirements

Compliances and Ratings

While some recommendations remain partially compliant, MONEYVAL has re-rated several others from partially compliant to largely or fully compliant. Specifically, Croatia is now rated:

  • Largely Compliant on recommendations 10, 17, 22, and 32
  • Fully Compliant on recommendation 13

Overall Progress

Overall, Croatia’s efforts have resulted in significant progress, with the country currently meeting 5 out of 40 FATF Recommendations. Croatia remains under MONEYVAL’s enhanced follow-up procedure and is expected to report back on further progress by December 2024.

About MONEYVAL

The Committee of Experts on the Evaluation of Anti-Money Laundering Measures and the Financing of Terrorism (MONEYVAL) is a monitoring body of the Council of Europe responsible for assessing compliance with international standards to combat money laundering, terrorist financing, and proliferation financing. MONEYVAL evaluates 33 states and territories and provides recommendations to national authorities to strengthen their anti-money laundering and counter-terrorist financing systems.