Croatia was put by a financial crimes monitor on the “grey list”
Croatia is now the only nation from the European Union on the list, which also includes Mali, the United Arab Emirates, and Panama.
The EU member state of Croatia has been added to the Financial Action Task Force’s (FATF) so-called “grey list” of nations that are subject to “increased monitoring,” according to the organization.
The United Arab Emirates, Panama, Mali, and Croatia are the only EU nations on the list, which was released on Friday. The decision was made in response to shortcomings in the nation’s “terrorism financing” and money laundering prevention policies.
“When the FATF places a jurisdiction under increased monitoring, it means the country has committed to implement an Action Plan to resolve swiftly the identified strategic deficiencies within agreed timeframes,” the watchdog stated in a statement on its website.
“New jurisdictions subject to increased monitoring are Cameroon, Croatia, and Vietnam.”
The Paris-based FATF is an intergovernmental organization that supports the fight against money laundering and “terrorism financing” by establishing international standards and monitoring their observance by nations. This week, it conducted one of its monthly plenary sessions.
The organization’s head, T. Raja Kumar, informed the media that Croatia has committed to an action plan to enhance its compliance and urged the nation to put this plan “as soon as possible” into effect.
The watchdog said in a statement that among other things, Croatia’s action plan includes “assessing risks associated with the misuse of legal persons and legal arrangements and the use of cash in the real estate sector.”
In a statement released on Friday, the organization reiterated that “all jurisdictions should be vigilant to current and emerging risks from the circumvention of measures taken against the Russian Federation in order to protect the international financial system.”
In February, the FATF put Russia’s membership on hold.
The organization also stated on Friday that no current member of the grey list has been eliminated since the meeting in June.
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