Andorra: improvement in fighting money laundering and terrorist financing in the non-profit organization sector. Andorra has improved measures to combat money laundering and terrorist financing, demonstrating progress in its level of compliance with the Financial Action Task Force (FATF) standards, in particular those concerning the non-profit organisations sector, according to a follow-up report MONEYVAL published today.
In its 2017 evaluation report, MONEYVAL requested the Andorran authorities to report back on its progress to address several shortcomings under the enhanced follow-up procedure.
The follow up report looks into Andorra’s risk assessment of the non-profit organizations sector and its supervision and regulation and examines a range of legislative, regulatory, and institutional measures implemented by Andorra in these areas.
As a result of its assessment, MONEYVAL has decided to upgrade Andorra´s compliance rating with the FATF recommendation concerning non-profit organizations from “partially compliant” to “largely compliant”
The follow-up report also assesses the implementation of new international requirements for virtual assets established in a revised FATF recommendation, covering the most prominent virtual currencies and the providers of these assets. Andorra’s rating on the implementation of this revised recommendation has been downgraded from “compliant” to “partially compliant”.
As a result, Andorra has achieved full compliance with nine of the forty FATF recommendations constituting the international AML/CFT (Anti-Money Laundering and Countering the Financing of Terrorism) standard. Andorra retains minor deficiencies in the implementation of twenty-eight recommendations where it has been found “largely compliant”. Three recommendations (new technologies, powers of law enforcement and international instruments) remain “partially compliant”. Andorra has no “non-compliant” ratings.
Due to MONEYVAL procedural limitations, the follow-up report studies the formal changes in the legislative, regulatory and institutional framework but does not assess the degree to which these reforms have been effectively implemented in practice.
Andorra expects to report back to MONEYVAL on further progress to strengthen its implementation of AML/CFT measures in one year.