FATF Status

Argentina is not on the FATF List of Countries that have been identified as having strategic AML deficiencies.

Compliance with FATF Recommendations

The last Mutual Evaluation Report relating to the implementation of anti-money laundering and counter-terrorist financing standards in Argentina was undertaken in 2024. According to that Evaluation, Argentina was deemed Compliant for 12 and Largely Compliant for 15 of the FATF 40 Recommendations. It was deemed Highly Effective for 0 and Substantially Effective for 1 of the Effectiveness ratings.

Argentina's legal framework for combating corruption includes the 1999 Public Ethics Law and the 2017 Corporate Criminal Liability Law, which extends anti-bribery sanctions to corporations. However, the implementation of these laws is inconsistent, particularly in the legislative branch, and significant gaps remain in the enforcement of anti-corruption measures, leading to a high perception of corruption in the country. Despite being a party to various international anti-corruption agreements, Argentina continues to face challenges, including a lack of judicial independence and insufficient corporate accountability for foreign bribery.

Argentina's economy faces significant challenges, including high inflation, recession, and interventionist policies that have hindered its growth potential. However, the new administration under President Javier Milei, which took office in December 2023, is focused on implementing structural reforms to stabilize the economy and attract investment, including plans to reduce inflation and lift capital controls. Despite these efforts, the country continues to grapple with a high tax burden and rigid labor laws that deter foreign investment.

Argentina's investment climate is challenged by economic uncertainty, high inflation, and interventionist policies, which have historically hindered its potential for growth. However, the new administration under President Javier Milei is taking steps to remove some of these interventionist measures and implement structural reforms aimed at creating a more market-friendly environment. Despite these efforts, challenges such as capital controls and a high tax burden remain significant obstacles for both domestic and foreign investors.