Denmark’s Money Laundering Vulnerabilities: FATF Report Reveals Gaps in Danish System

FATF Identifies Denmark’s Money Laundering and Terror Financing Weaknesses

• Paris, August 7, 2017
• Financial Action Task Force (FATF) assessment conducted between February and April 2017
• Covers the entire Kingdom of Denmark, including Greenland and the Faroe Islands

Key Findings

Denmark’s strong foundations in combating money laundering and terrorist financing, but improvements needed:

• Lack of a national strategy
• Need for enhanced risk assessment and coordination among authorities
• Modernized money laundering offense

Key Areas for Improvement

Deficiencies in risk assessment and mitigation in financial sectors and professions:

• Implementing proper risk-based AML/CFT supervision
• Stronger powers to enforce compliance and increased supervisory action

Progress in terrorist financing investigation and prosecution:

• Prioritize the investigation and prosecution of money laundering cases

Commitment to Strengthening Denmark’s Regime

• Recent legislative amendments welcome but need effective implementation

FATF Plenary Meeting in June 2017

The FATF adopted this report at its Plenary meeting.