Italy’s Financial Crime Risk Assessment Framework Under Scrutiny

Report Highlights Strengths and Weaknesses in AML/CFT Regime

A comprehensive assessment of Italy’s anti-money laundering (AML) and combating the financing of terrorism (CFT) regime has revealed a mixed bag of results. The evaluation was conducted by an IMF-led team using the Financial Action Task Force (FATF) Recommendations and Methodology.

Assessment Highlights

• Italy’s AML/CFT system is sophisticated and has achieved a high degree of compliance with most FATF 40+9 recommendations.
• Law enforcement efforts against money laundering have been successful, but more needs to be done by supervisory authorities to ensure the legal framework is effectively implemented by reporting entities.

Areas for Improvement

• Italy’s AML/CFT system requires updating to incorporate new features related to financial institutions and non-financial businesses and professions.
• Supervisory authorities need to devote more effort to ensuring the effective implementation of the legal framework by reporting entities.

Progress Made

• Despite areas for improvement, the report concludes that Italy has made significant progress in implementing its AML/CFT regime and has a strong foundation upon which to build further improvements.

Report Details

The assessment team’s findings are set out in detail in a series of annexes to the report.