Financial Crime World

Iceland Fights Back Against Organized Crime Amid Rising Violence

In recent years, Iceland has seen a surge in violence linked to criminal groups. In response, the Icelandic government has launched a concerted effort to boost cooperation and coordination among police departments both domestically and internationally.

Law Enforcement Efforts Pay Off


Iceland’s law enforcement agencies have made significant strides in combating organized crime, thanks to a well-equipped and professional police force supported by specific policies and ongoing training improvements. The Metropolitan Police in Reykjavik and the Suðurnes district have played key roles in tackling narcotics-related cases.

Challenges Persist


Despite these efforts, challenges remain. Understaffing and equipment shortages continue to plague law enforcement organizations, particularly in rural areas where police rely heavily on community assistance. Additionally, Iceland’s remote location makes it an attractive entry point for criminals seeking access to Europe or North America.

Economic Environment Faces Money Laundering Threat


Money laundering is a significant concern in Iceland, with billions of ISK laundered annually. While cash-based transactions are increasingly being targeted by law enforcement agencies, further work is needed to combat this threat. Reforms aimed at providing accurate ownership information and improving financial intelligence units have been implemented, but deficiencies persist.

Civil Society Plays Crucial Role


Non-governmental organizations (NGOs) and civil society organizations (CSOs) play a vital role in supporting victims of human trafficking and drug addiction. The government provides funding to NGOs offering shelter and psychological services to victims, while municipal social service agencies provide financial assistance.

Social Protection Measures in Place


Iceland has implemented various measures to protect victims of human trafficking, including:

  • Standardized referral procedures
  • A national referral mechanism
  • Establishment of a family justice centre
  • Funding for constructing shelters
  • Development of a central database to accurately reflect the extent of trafficking in Iceland

Media Freedom Faces Challenges


While Iceland’s media environment is generally favourable, with no reported attacks on journalists or media houses, some challenges persist. The economic impact of COVID-19 and the influence of the fishing industry on the media have raised concerns about press freedom.

Non-State Actors Key to Combating Organized Crime


Icelandic labour and trade unions, along with NGOs, play a crucial role in combating organized crime, particularly human trafficking and the protection of foreign workers. CSOs enjoy strong support and cooperation from the government, allowing for effective collaboration against organized crime.