FATF Status

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

Compliance with FATF Recommendations

The last follow-up to the last Mutual Evaluation Report relating to the implementation of anti-money laundering and counter-terrorist financing standards in Sweden was undertaken in 2020. According to the follow-up Evaluation, Sweden was deemed Compliant for 14 and Largely Compliant for 23 of the FATF 40 Recommendations. It was deemed Highly effective for 1 and Substantially Effective for 4 of the Effectiveness & Technical Compliance ratings.

Sweden generally presents a low risk of corruption for investors, with most companies adhering to high anti-corruption standards. However, there have been notable cases involving Swedish companies, such as Telia and Ericsson, which faced significant penalties for bribery and corruption in foreign dealings. Despite Sweden's comprehensive anti-corruption laws and participation in international conventions, the OECD has criticized the country for its lack of corporate convictions and inadequate penalties, urging reforms to enhance accountability and compliance.

Sweden boasts a highly competitive and open economy characterized by a well-educated labor force and low corporate tax levels, making it an attractive destination for investment. However, challenges such as high personal taxes, labor costs, and housing shortages can complicate the business environment. Despite these hurdles, Sweden ranks eighth in the IMD World Competitiveness Ranking 2023, reflecting its strong position in innovation and technology.

Sweden is recognized as a highly favorable investment destination, characterized by a competitive and open economy, a well-educated labor force, and low corporate tax levels. While the country faces some structural challenges such as high personal taxes and labor costs, it remains attractive for foreign investment, particularly in sectors like telecommunications and healthcare. Sweden's commitment to innovation and technology, along with a stable political environment, further enhances its investment climate.