Financial Crime World

Here is the rewritten article in markdown format:

Luxembourg National Risk Assessment (NRA) Report

The Luxembourg National Risk Assessment (NRA) report provides a comprehensive assessment of the money laundering and terrorist financing (ML/TF) risks in Luxembourg. Conducted by over 15 agencies with contributions from more than 50 experts, this report is based on thousands of data points and peer practice examples.

Threats to Luxembourg

The NRA identifies the primary threat to Luxembourg as money laundering of foreign proceeds of crime. Domestic exposure to money laundering is significantly smaller. Terrorism and terrorist financing are also considered a moderate threat overall.

ML/TF Risk Levels

The report categorizes ML/TF risks into five levels:

  • Very High: Money laundering, fraud and forgery, tax crimes, corruption and bribery
  • High: Drug trafficking, participation in an organized criminal group & racketeering, sexual exploitation (including of children), cybercrime, counterfeiting and piracy of products
  • Medium: Robbery or theft, trafficking in human beings and migrant smuggling, illicit arms trafficking, insider trading and market manipulation, illicit trafficking in stolen and other goods
  • Low: Extortion, environmental crimes, murder, grievous bodily injury, kidnapping, illegal restraint, and hostage taking, counterfeiting currency, piracy

Predicate Offenses

The NRA identifies the following predicate offenses that pose a significant risk to Luxembourg:

High-Risk Predicate Offenses

  • Money laundering
  • Fraud and forgery
  • Tax crimes
  • Corruption and bribery
  • Drug trafficking
  • Participation in an organized criminal group & racketeering
  • Sexual exploitation (including of children)
  • Cybercrime
  • Counterfeiting and piracy of products

Medium-Risk Predicate Offenses

  • Robbery or theft
  • Trafficking in human beings and migrant smuggling
  • Illicit arms trafficking
  • Insider trading and market manipulation
  • Illicit trafficking in stolen and other goods

Strategic Implications

The NRA concludes that the strategic implications for improving the AML/CFT regime in place are to prioritize strategic actions and resource allocations. The report provides a detailed assessment of inherent risks, threats, and vulnerabilities in Luxembourg’s ML/TF landscape.

If you have any questions or would like me to clarify or expand on any specific points, please let me know!