2024-11-20
MONEYVAL 6th round evaluation visit to Latvia
The National Strategy for the Prevention and Combating of Financial Crimes has been approved
13.02.2024
The National Financial Crime Prevention and Combating Strategy has been approved by the Latvian Financial Sector Development Council. It defines the future strategic goal, vision and priority directions for the development of the system for preventing and combating money laundering, terrorism and proliferation financing (AML/CFT). The Strategy aims at improving the cooperation among the public administration and the private sector in order to effectively prevent and combat financial crimes, promote the rule of law, Latvia's economic growth and investment environment, thereby strengthening both Latvia's internal and external security.
The Strategy was created on the basis of the threats, vulnerabilities and risks identified in the National Risk Assessment 2023. Furthermore, the Action Plan for the prevention of AML/CFT 2024-2026 provides a set of specific measures to achieve the goal of the national financial crime prevention and combating strategy.
The most significant AML threats in Latvia are caused by the shadow economy, criminal offenses against property, especially fraud in the digital environment, criminal offenses in the service of state institutions, cross-border flow of funds obtained as a result of fraud committed in foreign countries.
At the same time, the strategy points to a new risk associated with the enforcement of EU sanctions against Russia and Belarus and the detection of their violations and the prosecution of individuals. This creates not only the risk of AML, but significantly affects the capacity of the Latvian institutions to effectively combat AML and poses a significant threat to Latvia's internal and external security.
The Financial Sector Development Council of Latvia, which is chaired by the Prime Minister, is a coordinating institution, the purpose of which is to coordinate and to improve the cooperation of state institutions and the private sector in promoting the sustainable development of the financial sector and preventing AML/CFT.
According to the regulations of the Financial Sector Development Council, the members of the Financial Sector Development Council are the Prime Minister (Chairperson of the Council), the Minister of Economy, the Minister of Foreign Affairs, the Minister of the Interior, the Minister of Finance, the Minister of Justice, the Prosecutor General, the President of the Bank of Latvia, the Head of the Financial Intelligence Unit, the chairwomen of the board of the Latvian Financial Industry Association, president of the Association of Latvian Insurers, chairman of the board of the Association of Latvian Payment Services and Electronic Money Institutions, head of the Fintech Latvia Association and president of the Confederation of Latvian Employers.
National Strategy for the Prevention and Combating of Financial Crime
2024-10-29
FATF has updated lists with jurisdictions under Increased Monitoring