San Marino Implements Financial Sanctions to Ensure Stability

Central Bank’s Move Aimed at Promoting Financial Stability and Protecting Savings

The Central Bank of the Republic of San Marino (CBSM) has announced the implementation of financial sanctions, aimed at preventing money laundering and terrorist financing activities. This move is designed to ensure the stability of the financial system and protect savings in the country.

CBSM’s Primary Objective

According to CBSM President Catia Tomasetti, the bank’s primary objective is to “ensure the stability of the financial system and protect savings in the country.” She emphasized that the bank recognizes the substantial social value of savings and will take all necessary measures to prevent any illegal activities.

New Sanctions Target Individuals and Entities Involved in Illegal Activities

The new sanctions will target individuals and entities involved in money laundering and terrorist financing. The CBSM has been empowered to adopt various measures, including regulations, orders, circulars, standard letters, recommendations, and instructions, to achieve its objectives.

Central Bank’s Additional Responsibilities

In addition to implementing financial sanctions, the CBSM will also provide banking and financial services to the state and public administration, aiming to coordinate the management of liquidity and choice of forms of financing. Additionally, it will facilitate economic and financial activity by issuing licenses and supervising the banking, financial, and insurance industry in San Marino.

Supervision Committee Established

The CBSM has appointed a Supervision Committee, led by Director-General Andrea Vivoli, to carry out supervisory functions on the banking, financial, and insurance industries. The committee is responsible for inspections, reporting activities, and regulation.

Chamber of Commerce Supports New Measures

In a related development, the Chamber of Commerce of the Republic of San Marino has expressed support for the new measures, stating that they will help ensure the stability and security of the country’s economy.

EU Inspiration

The implementation of financial sanctions in San Marino follows a similar move by the European Union (EU) to combat money laundering and terrorist financing. The EU’s 5th Anti-Money Laundering Directive requires member states to implement stricter regulations and penalties for those involved in these activities. San Marino, which is not an EU member state but has adopted many EU laws and regulations, has taken similar measures to align its financial sector with international standards.

Country’s Efforts to Combat Money Laundering and Terrorist Financing

San Marino has also signed several agreements with the EU to combat money laundering and terrorist financing. The CBSM’s efforts to implement financial sanctions are seen as a significant step towards ensuring the stability of San Marino’s economy and preventing any illegal activities that could harm the country’s financial system.

Conclusion

The implementation of financial sanctions in San Marino is a crucial step towards ensuring the stability of the country’s economy and protecting its citizens’ savings. The CBSM’s efforts to combat money laundering and terrorist financing will help prevent illegal activities and maintain trust in the financial system.