Slovakia Takes Significant Steps in Strengthening AML/CFT Regulations, MONEYVAL Reports

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The Slovak Republic has made significant progress in improving its anti-money laundering and terrorist financing (AML/CFT) regime, according to a follow-up report released by MONEYVAL.

Upgrade from Partially Compliant to Largely Compliant

The country’s efforts to strengthen its regulations have resulted in an upgrade from Partially Compliant to Largely Compliant on Recommendation 26 regarding the regulation and supervision of financial institutions.

Measures Introduced Since November 2022

Since November 2022, Slovak authorities have introduced measures aimed at preventing associates of criminals from holding a significant or controlling interest in banks and insurance undertakings. Additionally:

• Risk assessment procedures for exchange offices and non-banking lenders have been adopted.
• Policies to review individual risk profiles for financial institutions have been improved.

Progress Made in Addressing Technical Compliance Shortcomings

As a result of these efforts, the Slovak Republic has made progress in addressing most technical compliance shortcomings identified in its 2020 Mutual Evaluation Report. Currently:

• The country is compliant with 5 recommendations.
• It is largely compliant with 23 recommendations.
• It is partially compliant with 12 out of 40 recommendations.

Future Progress Expected

The Slovak authorities are expected to report back to MONEYVAL by December 2024 on further progress made towards strengthening the AML/CFT system.