Hungary Makes Strides in Fighting Money Laundering and Terrorist Financing

Progress in Combating Financial Crimes

In a recent report by the Council of Europe anti-money laundering body MONEYVAL, Hungary has demonstrated significant improvements in its measures to combat money laundering and terrorist financing. As a result, the country has been upgraded from “partially compliant” to “largely compliant” in three key areas.

Key Areas of Improvement

• Correspondent Banking Relationships: Hungary’s enhanced due diligence requirements for correspondent banking relationships have been deemed satisfactory.
• Internal Controls in Financial Institutions: The country has introduced necessary requirements for financial institutions on screening procedures when hiring employees and ongoing training.
• Transparency and Beneficial Ownership of Legal Persons: Hungary’s obligations for financial groups and companies register have been found to be satisfactory.

Continued Commitment to AML/CFT Measures

Hungary’s efforts to strengthen its anti-money laundering and combating terrorist financing (AML/CFT) measures are a testament to the country’s commitment to transparency and accountability in the financial sector. By continuing to work towards full compliance with international standards, Hungary aims to maintain a stable and secure financial environment for both domestic and international businesses.

Timeline of Progress

• 2022: MONEYVAL publishes its follow-up report, upgrading Hungary from “partially compliant” to “largely compliant” in three key areas.
• 2024: Hungary is expected to submit its next report to MONEYVAL, detailing progress made towards strengthening its implementation of AML/CFT measures.

Conclusion

Hungary’s commitment to improving its AML/CFT framework demonstrates a dedication to maintaining a secure and stable financial environment. By continuing to work towards full compliance with international standards, the country aims to promote transparency and accountability in the financial sector.