Anti Money Laundering in Iceland

AML Country Guide / Anti Money Laundering in Iceland

The government demonstrated its policy on financial crimes by issuing AML, CFT, and CPF decisions. These rules, published in 2019, touch upon topics such as money laundering and terrorist financing. These policies aim to confront and prevent the financing of terrorism and other serious crimes in a determined manner. Therefore, the authorized institutions cooperate and keep the measures at the maximum level.  

What Is The Status of Iceland's FATF?  

Iceland is not included in the FATF List of Countries identified as having significant AML deficiencies. FATF appreciates Iceland's significant progress in developing the AML / CFT regime. Iceland has strengthened the AML / CFT rules' effectiveness and addressed the relevant technical shortcomings to fulfill the FATF's commitment in the action plan on significant shortcomings identified in October 2019. This is why Iceland is now out of the FATF's increased monitoring process. Iceland will continue to work with FATF to further its AML / CFT regime.  

FATF stated that "although supervisors identify the hazards associated with their industry, they need to take their audits and risk-based approach further. Iceland should also research and develop specific risks associated with legal entities and regulations.     

Considering the "solid legal framework for investigation and prosecution" and cooperation with international colleagues, the FATF report expressed their positive opinion that as Iceland devotes more resources to AML / CTF Compliance, it has the capacity to reach recommendations and gain an acceptable level.  

AML Compliance for Iceland  

Money laundering and counter-terrorism financing in Iceland was carried out in the latest Mutual Assessment Report 2020 to implement FATF rules. Based on this Assessment, Iceland was considered Compliant for 21 of the FATF 40 and Largely Compliant for 16.  

AML Regulators in Iceland  

Iceland has a strong coordination mechanism through the Executive Committee on money laundering and terrorist financing, as determined by the Minister of Justice under Article 39 of the AML Law. Committee members consist of relevant ministries, LEAs, auditors, tax authorities, and other advocates.  

Sanction Scanner Solutions for Iceland  

Sanction Scanner offers precise solutions for the AML needs of businesses. The Sanction Scanner collects and structures the sanctions and watch lists of many countries' regulatory and law enforcement agencies with artificial intelligence support. With our PEP and Sanction Screening Service, financial institutions in Iceland can also meet global and local AML obligations and be protected from legal penalties. Simultaneously, businesses in Iceland can perform CDD and KYC transactions with the AML Name Screening tool in line with their obligations.  

Besides, banks or other financial institutions in Iceland can easily detect high-risk and suspicious activities automatically by creating their own rules without any coding knowledge with Sanction Scanner's AML Transaction Monitoring software. As a result, you can be protected from potential financial crime risks and legal penalties with our advanced AML solutions in Iceland. For more information, you can contact us or request a demo. 

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