FATF Status

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

Compliance with FATF Recommendations

It should be noted that the new style FATF Mutual Evaluation has not yet been undertaken. 

The last Mutual Evaluation Report relating to the implementation of anti-money laundering and counter-terrorist financing standards in Comoros was undertaken by the Financial Action Task Force (FATF) in 2011. According to that Evaluation, Comoros was deemed Compliant for 0 and Largely Compliant for 4 of the FATF 40 + 9 Recommendations. It was Partially Compliant or Non-Compliant for all 6 of the Core Recommendations.

The IMF report highlights the need for the authorities to implement the recently adopted anti-corruption law, which enhances asset declaration frameworks and empowers the Anti-Corruption Chamber (ACC) to enforce these requirements. While the law improves transparency by allowing citizens access to asset declarations, challenges remain due to restrictions on publishing this information. Additionally, ongoing reforms include the establishment of an online tender management system for public contracts and an assessment of the Central Bank of Comoros' transparency and operational capacity, with recommendations for further technical assistance and amendments to strengthen its autonomy.

The economy of Comoros is a small trade-based island economy that relies heavily on agriculture and remittances from its diaspora, with key industries including fishing, tourism, and perfume distillation. Despite its potential, the country faces significant challenges such as high unemployment, fragile liquidity, and the adverse effects of natural disasters and the COVID-19 pandemic on its economic stability.

The investment climate in Comoros is significantly affected by political instability and historical governance challenges, although recent structural and fiscal reforms are being implemented to enhance the business environment and attract foreign investment. Despite these efforts, persistent issues such as a bloated civil service wage bill and inadequate infrastructure continue to impede economic growth. The government is actively working on diversifying exports, promoting tourism, and improving education and technical training to foster a more favorable investment landscape.