FATF Status

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

Compliance with FATF Recommendations

The latest follow up to the Mutual Evaluation Report relating to the implementation of anti-money laundering and counter-terrorist financing standards in Denmark was undertaken in February 2021. According to that Evaluation, Denmark was deemed Compliant for 6 and Largely Compliant for 32 of the FATF 40 Recommendations. It was deemed Highly Effective for 0 and Substantially Effective for 3 of the Effectiveness & Technical Compliance ratings.

Denmark is recognized as one of the least corrupt countries globally, with strict laws against bribery and corruption enforced by the Ministry of Justice. Despite this low level of domestic corruption, the OECD has raised concerns about Denmark's insufficient prioritization of preventing and penalizing foreign bribery, highlighting a lack of resources and awareness regarding the risks faced by Danish companies abroad. The OECD Working Group has made several recommendations to enhance Denmark's anti-corruption efforts, including developing a national strategy to combat foreign bribery and increasing sanctions for related offenses.

Denmark is recognized as one of the world's most attractive business environments, characterized by political, economic, and regulatory stability. The economy is heavily trade-driven, with exports accounting for about 70 percent of GDP in 2023, and it is a leader in green technology and life sciences. Despite facing challenges such as labor shortages and uncertainty from geopolitical events, the Danish economy has shown resilience, with projected GDP growth of 2.7 percent in 2024.

Denmark is recognized as one of the most attractive business environments globally, characterized by political, economic, and regulatory stability. The country maintains a fixed exchange rate policy linked to the Euro and has a sound investment climate, although companies face challenges such as labor shortages. Denmark actively encourages foreign investment, with a transparent regulatory framework and a foreign investment screening mechanism in place for certain high-risk sectors.