US state department names major money laundering countries for 2018

The US state department has published its 2019 International Narcotics Control Strategy Report (INCSR). It contains a full volume on money laundering activity worldwide that includes an extensive commentary on the growing number of jurisdictions in which trade-based financial crime is becoming an increasing menace.

The state department is required by law to produce this report and, in addition to identifying countries in relation to illicit narcotics, it must identify “major money laundering countries.”

The INCSR is also required to report findings on each country’s adoption of laws and regulations to prevent narcotics-related money laundering.

Money laundering centres

A “major money laundering country” is defined as one “whose financial institutions engage in currency transactions involving significant amounts of proceeds from international narcotics trafficking.”

A country identified as a major money launderer is not an indication that it is not making strong efforts to combat money laundering or meeting relevant international standards, neither is the INCSR a “black list” of jurisdictions, nor are there sanctions associated with it.

The following countries or jurisdictions have been identified in the 2019 INCSR as Major Money Laundering Jurisdictions in 2018:

Americas and Caribbean

In North America: Canada and United States.

In Central and South America: Argentina, Belize, Bolivia, Brazil, Colombia, Ecuador, El Salvador, Guatemala, Guyana, Honduras, Mexico, Nicaragua, Panama, Paraguay, Peru, Suriname and Venezuela.

In the Caribbean: Antigua and Barbuda, Aruba, Bahamas, Barbados, British Virgin Islands, Cayman Islands, Costa Rica, Cuba, Curacao, Dominica, Dominican Republic, Haiti, Jamaica, St. Kitts and Nevis, St. Lucia, St. Vincent and the Grenadines, Saint Maarten as well as Trinidad and Tobago.

Africa and Europe

In Africa: Algeria, Benin, Cabo Verde, Ghana, Kenya, Liberia, Morocco, Mozambique, Nigeria, Senegal and Tanzania,

Europe and FSU

In Europe: Belgium, Bosnia and Herzegovina, Cyprus, Italy, Netherlands, Serbia, Spain, Turkey and United Kingdom.

In the Former Soviet Union (FSU): Albania, Armenia, Azerbaijan, Georgia, Kazakhstan, Russia, Tajikistan, Ukraine and Uzbekistan.

Middle East and Asia

In the Middle East: Afghanistan, Iran and United Arab Emirates,

In Asia: Burma (Myanmar), China, Hong Kong, India, Indonesia, Laos, Macau, Malaysia, Pakistan, Philippines, Thailand and Vietnam.

The 2019 International Narcotics Control Strategy Report by the US Department of State can be found here.


Categories: Trade Based Financial crimes News

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