Sweden’s Efforts to Combat Money Laundering and Terrorist Financing

Introduction

Stockholm, Sweden - As the world grapples with the devastating effects of terrorism and money laundering, Sweden has been at the forefront of combating these threats. The country’s efforts have been deemed successful by many, but a recent report highlights several challenges that need to be addressed.

Systemic Risks and Shortcomings

National Risk Assessment

The 2019 national risk assessment identified systemic risks linked to strawmen, population registration, and exploited identities, which could compromise the trust in basic identification. Additionally, shortcomings were found in the dissemination, access, and production of information and knowledge within Sweden’s regime.

Lack of resources and tools
Inadequate legal basis in certain areas

Coordination Function

Since 2018, the Swedish Police Authority has led the coordination function to combat money laundering and terrorist financing. This joint effort involves 16 agencies, including:

Swedish Bar Association
Swedish Companies Registration Office
Swedish Financial Supervisory Authority

Regulations and Legislation

Sweden’s efforts are based on two sets of regulations: administrative and penal.

Administrative Regulations

The Money Laundering and Financing of Terrorism (Prevention) Act is central to this effort, aimed at preventing and countering the exploitation of financial activities for money laundering and terrorist financing.

Penal Regulations

Act on Penalties for Money Laundering Offences
Act on Criminal Responsibility for Financing Particularly Serious Crime

These regulations aim to prosecute individuals involved in these crimes.

Risk Assessment

The 2020/2021 national risk assessment identified risks in sectors defined under the Anti-Money Laundering Act. The report aims to identify and assess risks in these areas, including those related to terrorist financing.

Conclusion

Sweden’s efforts to combat money laundering and terrorist financing are commendable, but challenges remain. Addressing these systemic risks and shortcomings is crucial to maintaining confidence in Sweden’s financial system.

For more information on Sweden’s efforts to combat money laundering and terrorist financing, read the Swedish National Council for Crime Prevention’s report: “Money Laundering and Other Money Management - Criminal Money, Black Money and Murky Money in the Legal Economy” (Report 2015:22).

Additionally, visit the Government Offices’ website for more information on Sweden’s measures to combat money laundering and terrorist financing.

Stay Informed

Stay up-to-date with the latest developments on this topic by following reputable sources, such as:

Swedish Police Authority
National Centre for Terrorist Threat Assessment