Christmas Island is a territory of Australia. Information for Australia may be included below:

FATF Status

Australia 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 Australia was undertaken in 2024. According to that Evaluation, Australia was deemed Compliant for 18 and Largely Compliant for 12 of the FATF 40 Recommendations. It remains Highly Effective for 1 and Substantially Effective for 4 with regard to the 11 areas of Effectiveness of its AML/CFT Regime.

Australia has a robust legal framework to combat corruption, characterized by transparent government procurement and active participation in international anti-corruption efforts. The Criminal Code Act 1995 criminalizes bribery of foreign officials, imposing severe penalties for violations, while various national and state agencies work to ensure integrity in public service. Despite some corruption risks, particularly in foreign bribery and the mining sector, Australia is perceived as having low corruption levels, which does not deter U.S. businesses from investing or exporting to the country.

Christmas Island's economy is primarily driven by tourism and phosphate extraction, although the phosphate resources are nearing depletion. The territory has transitioned to a high-income economy, with government services and increasing tourism playing significant roles in its development.

The investment climate in Christmas Island benefits from its status as an Australian territory, which provides a stable legal and regulatory environment. However, challenges such as the closure of the phosphate mine and a lack of significant commercial ventures have made it difficult to attract new investments. Government initiatives aimed at diversifying the economy, including proposals for a commercial spaceport and tourism infrastructure support, face obstacles due to the island's remote location and limited resources.