Norway is one of the least corrupt countries in the world, and business is done in a transparent manner. Corruption is hardly a barrier to commerce or investment, and administrative corruption and small bribes are almost non-existent. The Norwegian Penal Code punishes both active and passive bribery, influence trading, fraud, extortion, breach of trust, and money laundering. It applies to anybody registered in Norway and entails a punishment of up to ten years in jail, even if the conduct is done outside of Norway.
What is the Present Condition of Norway's FATF?
Norway is a member state that is required to follow FATF recommendations. Norway is not among the member nations listed by the FATF as having strategic AML weaknesses. The most recent Mutual Assessment Report on FATF Norway's compliance with anti-money laundering and counter-terrorism financing requirements was completed in 2019. According to the FATF evaluation, Norway is largely compliant with 5 of the FATF's 40 recommendations.
Norway's Anti-Money Laundering Regulatory Authority
The Norwegian Insurance Council, the Bank Inspection Body, and the Broker Control Agency merged to become the FSA, an autonomous government agency, in 1986. Until 2009, the FSA was formally known as the Credit Supervisory Authority (Kredittilsynet). The FSA, headquartered in Oslo, is overseen by the Norwegian Ministry of Finance and is presently directed by Finn Arnesen.
The FSA's mandate is to promote financial stability and well-functioning markets in Norway, as well as to collaborate with international regulatory agencies, such as ensuring that legislation relevant to EEA member states are efficiently implemented inside the country.
Norway's Anti-Money Laundering Regulations
All Scandinavian nations are affected by anti-money laundering (AML) efforts. Banks, mortgage businesses, insurance companies, auditors, accountants, estate agents, and legal firms must all comply with the new rules. Obligated entities must take a number of precautions to avoid being abused by criminal forces. In Norway, this resulted in a new Act on anti-money laundering and terrorist funding in 2018. This shines a bright light on those who are supposed to report any such attempted infractions.
The Anti-Money Laundering Act (2018) is the main piece of AML law in Norway, and it implements the AML standards of the EU's Fourth and, later, Fifth Anti-Money Laundering Directives (4AMLD and 5AMLD), as well as those of the Financial Action Task Force (FATF).
The Anti-Money Laundering Act applies to the following Norwegian institutions:
- Providers of banking and credit services
- Financing firms
- Providers of payment services
- Holding corporations
- Insurance and pension funds
- Providers of electronic money
According to 4AMLD and 5AMLD, obligated organizations in Norway must implement AML procedures to address the criminal threats posed by cryptocurrency. In order to meet this need, the Norwegian Anti-Money Laundering Act placed financial institutions that provide cryptocurrency services under the FSA's oversight and imposed additional reporting requirements for crypto storage and exchange services.
How to Avoid Money Laundering and Comply with AML Regulations?
In order to safeguard their companies from ML risks and avoid regulatory penalties, obligated organizations in Norway must comply with and obey legislation. All institutions in Norway may simply comply with the rules by using the Sanction Scanner's AML Name Screening, Transaction Monitoring, Transaction Screening, and Adverse Media Screening tools. They can comply while reducing their risks. You can contact us for more information, or request a demo to explore our solutions.