Financial Crime World

Preventing Financial Crime in Liechtenstein: A Look at the Country’s Progress

Overview of FATF Evaluation

A recent evaluation by the Financial Action Task Force (FATF) has shed light on the steps Liechtenstein is taking to prevent financial crime. The assessment, which was conducted in 2012 and reviewed using a 2013 methodology, highlights areas where the country excels and areas for improvement.

Methodology of the Assessment

The process involved reviewing information provided by Liechtenstein’s government as well as conducting an on-site visit to assess the country’s efforts. The findings of this assessment were subsequently endorsed by the FATF, a global authority on anti-money laundering and counter-terrorist financing.

Key Areas of Progress

  • Effective Anti-Money Laundering Regimes: Liechtenstein has implemented robust regulations to prevent money laundering, including the establishment of a Financial Intelligence Unit (FIU) to monitor suspicious transactions.
  • Compliance with International Standards: The country has demonstrated its commitment to adhering to international anti-money laundering and counter-terrorist financing standards.

Areas for Improvement

While Liechtenstein’s progress is significant, there are also areas where improvement is needed, as highlighted in the report’s executive summary. These include:

  • Enhancing Customer Due Diligence: The country needs to strengthen its customer due diligence procedures to ensure that financial institutions are adequately verifying the identities of their clients.
  • Improving International Cooperation: Liechtenstein should enhance its cooperation with other countries to share information and best practices in combating financial crime.

Conclusion

For those interested in learning more about Liechtenstein’s efforts to combat financial crime, the full report provides valuable insights and recommendations for moving forward. By continuing to address areas of improvement and maintaining its commitment to anti-money laundering and counter-terrorist financing standards, Liechtenstein can further strengthen its position as a responsible member of the global financial community.