MEPs endorse update to EU list of money-laundering high-risk countries 

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Parliament has decided to accept an update of the EU list of money-laundering and terrorist financing high-risk third countries.

In vote on Wednesday, the European Parliament decided to not object to a Commission proposal on updating the EU list of high-risk third countries and territories with deficiencies in their regime on fighting money-laundering and terrorist financing, as none of the resolutions on objection secured majority support.

The update adds the following entries to the list:


Algeria, Angola, Côte d’Ivoire, Kenya, Laos, Lebanon, Monaco, Namibia, Nepal, Venezuela


And removes the following:


Barbados, Gibraltar, Jamaica, Panama, the Philippines, Senegal, Uganda, the United Arab Emirates


Background


The 4th Anti-Money-Laundering Directive empowers the European Commission to identify high-risk third countries with strategic deficiencies in their AML/CFT regimes and list them through delegated acts, which Parliament or Council can block with an objection - in the case of Parliament, by a majority of its component members.

Once a country or territory is listed, enhanced customer due diligence measures are required when EU entities in the scope of AML legislation deal with companies based there.

On 8 July, the Commission adopted another proposal committing itself to reviewing the status of countries who the FATF has not identified as high-risk but whose membership in it is suspended - a group that includes Russia, in response to concerns raised by MEPs on listing that country.