Liechtenstein has an open financial centre with an international orientation. The national framework is set out in the Government's Financial Centre Strategy. An essential component of the strategy is the implementation of international standards. This is especially true with regard to anti-money laundering and combating the financing of terrorism (AML/CFT).

As a member of the European Economic Area (EEA), Liechtenstein implements all EU provisions relating to money laundering and financing of terrorism. As a member of MONEYVAL – the Council of Europe Committee of Experts – Liechtenstein also implements the recommendations of the Financial Action Task Force (FATF).

For years, Liechtenstein has consistently relied on close cooperation between all competent national authorities in its AML/CFT efforts. As part of a whole-of-government approach, the financial market participants are also involved in these efforts. The Government, the public authorities, and the financial centre participants are all aware of their key role in effectively combating money laundering and financing of terrorism.

Liechtenstein's approach is not based solely on the enforcement of international requirements, however, but primarily on the certainty that effectively combating abuse constitutes an advantage of the Liechtenstein business location, alongside the quality of services and the business environment.

As an international financial centre, Liechtenstein has a global client base. Clients benefit in particular from the fact that all key financial products and services are offered in a very compact location. This locational advantage also poses a challenge from a risk perspective, however.

A purely national approach would fall short. Instead, risks must also be viewed, evaluated, and mitigated from a global perspective. Identifying, assessing, and understanding risks is the basis of an effective AML/CFT defence mechanism. Already in 2018, Liechtenstein carried out a comprehensive national risk assessment of money laundering and terrorist financing risks. The risk assessment is updated and expanded regularly and gives Liechtenstein the opportunity to react appropriately and promptly to changing or emerging risks.

The risk assessments, along with the AML/CFT Strategy enacted by the Government, form the core of Liechtenstein's national, inter-authority defence mechanism.

The identification of risks and the adoption of corresponding measures must always keep pace with international developments. Only continuous further development of the competent bodies and intensification of cooperation between the authorities and financial centre participants can effectively prevent abuse of the financial centre for money laundering and terrorist financing.

All of this sends a clear message: Liechtenstein takes decisive and comprehensive action against money laundering and terrorist financing.

MONEYVAL country assessment 2021/2022

Liechtenstein's defence mechanism against money laundering and terrorist financing has now been assessed for the fifth time. In June 2022, MONEYVAL published the country report of this assessment. In light of the positive report, Liechtenstein is subject only to the regular MONEYVAL reporting process – only one of five member countries with this result. MONEYVAL recognises the progress made by Liechtenstein and encourages the country to further strengthen AML/CFT measures to combat money laundering and the financing of terrorism.