Liechtenstein Country Summary

FATF Status

Liechtenstein 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 Liechtenstein was undertaken in 2022. According to that Evaluation, Liechtenstein was deemed Compliant for 11 and Largely Compliant for 26 of the FATF 40 Recommendations. It was deemed Highly effective for 0 and Substantially Effective for 5 of the Effectiveness & Technical Compliance ratings.

Liechtenstein experiences limited criminal activity, with human trafficking and drug use being the most notable issues, primarily driven by foreign actors. The government has implemented strong measures against organized crime, maintaining high levels of transparency and an efficient judicial system. While financial crimes, particularly tax evasion, remain a concern, the country actively participates in international efforts to combat such issues.

Liechtenstein has a high-income economy with one of the highest GDP per capita globally, driven by a strong financial sector and diverse industries such as electronics and pharmaceuticals. The economy is closely tied to Switzerland, using the Swiss franc and benefiting from a customs union, while maintaining a low unemployment rate and a significant number of registered companies.

Liechtenstein's investment climate is highly favorable, supported by a strong financial services sector and a reputation for political stability. The government has actively worked to improve its regulatory framework, moving away from its past as a tax haven to attract legitimate business investments, while low corporate tax rates and alignment with European economic standards further enhance its attractiveness to foreign investors.