Financial Crime Prevention Strategies Adopted in Monaco to Enhance International Credibility
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In a significant move aimed at strengthening its approach to combating financial crime, the National Council of Monaco passed two bills on Monday, January 31. This legislative development demonstrates the principality’s commitment to adapting its laws to meet international standards and commitments on money laundering, terrorist financing, and corruption.
The Government’s Commitment
The government, at the behest of Sovereign Prince Albert II, is determined to ensure that the Monegasque banking and financial industry continues to operate at a high level. This commitment is reflected in the passage of the bills, which follows productive discussions between government representatives and industry professionals, as well as between the government and the National Council.
Key Provisions
The new measures aim to:
- Boost the capacity of the justice system to confiscate fraudulently acquired capital
- Expand the scope of offences relating to payment instruments, including virtual currency transfers
- Set out obligations for professionals required to assist with combating money laundering efforts, particularly in cases of atypical transactions
Extending the Scope of Professionals
The list of professions subject to these requirements has been extended following the conclusions of the National Risk Assessment (NRA2), aiming to strike a balance between effective risk management and maintaining the attractiveness of the industry in Monaco.
Consultation and Prioritization
The government consulted extensively on the new provisions, taking into account various concerns and explaining its choices while prioritizing the public interest.
A Significant Step Forward
The adoption of these bills is seen as a significant step forward in Monaco’s efforts to strengthen its approach to financial crime prevention and maintain its international credibility. Further discussions and meetings are planned, including:
- The first meeting of the Committee for Coordination and Monitoring of the National Strategy on Money Laundering, Terrorist Financing, Proliferation of Weapons of Mass Destruction, and Corruption on February 3, chaired by Minister of State Pierre Dartout.
This development demonstrates Monaco’s commitment to adapting its laws to meet international standards and maintaining its reputation as a responsible player in the global financial system.