Financial Crime World

Liechtenstein Takes Significant Steps in Anti-Money Laundering and Combating Terrorism Financing Efforts

August 14, 2018

In a significant development for the tiny Alpine nation of Liechtenstein, the country has made substantial strides in its anti-money laundering (AML) and combating terrorism financing (CFT) efforts. A recent evaluation by international experts has highlighted the progress made by Liechtenstein in aligning its legal framework with global standards and strengthening its institutional framework to combat financial crime.

Key Findings of the Evaluation

  • Effective use of in rem confiscation laws: Liechtenstein’s proactive approach to combating money laundering and terrorist financing has paid off, particularly through its effective use of in rem confiscation laws.
  • Robust domestic cooperation: The country’s robust domestic cooperation among key stakeholders, including law enforcement agencies and regulatory bodies, has also been praised.

Room for Improvement

While Liechtenstein has made considerable progress since the last mutual evaluation, there is still room for improvement in implementing AML/CFT measures effectively. However, experts are encouraged by the country’s commitment to transparency and its efforts to strengthen its institutional framework.

Liechtenstein as a Reliable Partner

Liechtenstein’s efforts have earned it a reputation as a reliable partner in the global fight against financial crime. The country’s progress serves as a model for other nations seeking to enhance their AML/CFT regimes and demonstrates the importance of international cooperation in preventing the misuse of financial systems for illicit purposes.

Contribution to the Global Debate

The report is a significant contribution to the ongoing debate on effective measures to combat money laundering and terrorist financing, highlighting Liechtenstein’s proactive approach to this critical issue. As the global community continues to grapple with the challenges posed by financial crime, Liechtenstein’s progress serves as an important reminder of the importance of cooperation and the need for continued vigilance in preventing and detecting illicit activities.

A Model for Other Nations

This country report is part of a series evaluating the AML/CFT regimes of various nations and provides valuable insights into the best practices and challenges facing countries in this area.