Gibraltar's Financial Action Task Force (FATF) Status
Last updated: 23 February 2024
Gibraltar’s compliance with its international obligations includes compliance with the requirements of the Financial Action Task Force (‘FATF’). On this page we provide regular updates about the status of Gibraltar’s compliance with international standards to counter money laundering and the financing of terrorism. Compliance with these measures is monitored by Moneyval. This page will be updated as and when developments arise.
23 February 2024
At the FATF Plenary held in Paris between the 21-23 February 2024, (FATF Week February 2024 (fatf-gafi.org), Gibraltar was officially removed from the FATF’s list of jurisdictions under increased monitoring, commonly referred to as the “grey list.” Whilst there are no ‘lists’ as such, countries have their own dedicated coverage on the FATF website, including Gibraltar. Gibratar is therefore, now, on the FATF’s whitelist.
The announcement was made at the FATF’s press conference at the conclusion of the plenary.
This outcome is the result of concerted efforts across various sectors in Gibraltar to further enhance our anti-money laundering and counter-terrorist financing frameworks. The FATF’s decision acknowledges the significant progress made by Gibraltar in addressing the areas for improvement it had previously identified. The decision also showcases our long-term commitment to upholding the highest standards of compliance and integrity and our commitment to continue to decisively respond to the challenges of a dynamic global compliance environment.
For more detailed information on the changes and how they might affect our operations or your business, please feel free to reach to your contact at Hassans or, alternatively, reach out to Selwyn Figueras on selwyn.figueras@hassans.gi.
17 February 2024
FATF news post – FATF Week February 2024
15 February 2024
Press Release by His Majesty’s Government of Gibraltar – 93/2024
Minister Feetham meets Gibraltar MoneyVal Inter-Agency Working Group
The Minister for Justice, Trade and Industry Nigel Feetham KC MP chaired another productive meeting with the Gibraltar MoneyVal Inter-Agency Working Group, focused on the Government’s continued efforts to achieve Gibraltar’s delisting.
Minister Feetham commented: “Our work continues and I am very grateful for the dedication and expertise demonstrated by everyone involved. As we continue our planning, we remain focused and committed to Gibraltar’s continued compliance with FATF standards in our efforts to secure Gibraltar’s delisting and always remaining white-listed. A huge amount of work and effort has and is being put into this.”
11 January 2024
Report of answer to a question in the House of Lords Grand Committee in respect of Gibraltar’s imminent return to the White List – for the full text of the question and answer, click here
In an answer to a question asked by Lord Livermore, during a session of the Grand Committee of the House of Lords convened to consider the Money Laundering and Terrorist Financing (High-Risk Countries) (Amendment) (No. 2) Regulations, Baroness Vere of Norbiton indicated that the British Government expects that Gibraltar would be shortly removed from the FATF’s grey list, even if the choice of language (“after improvements in its illicit finance regimes”) was neither representative of the reality of the matter, much less helpful.
In answer to the question, which indicated surprise at Gibraltar’s continued grey listing, Baroness Vere said: “I will write to the noble Lord about what progress has been made in Gibraltar. My understanding is that it has made very good progress against its action plan, and we continue to work with it on this. We expect Gibraltar to be removed from the list soon due to the improvements in its illicit finance regimes. It is worth mentioning that we work closely with the overseas territories to ensure that they get the benefit of our expertise because they are treated as independent nations. They are members of a FATF-style regional body themselves.”
24 October 2023
Gibraltar has “substantially completed its action plan and warrants an on-site assessment” – FATF
At its October 2023 Plenary, according to the FATF’s own observations, “the FATF made the initial determination that Gibraltar has substantially completed its action plan and warrants an on-site assessment to verify that the implementation of AML/CFT reforms has begun and is being sustained and that the necessary political commitment remains in place to sustain implementation in the future.”
“Gibraltar has made the following key reforms, including: (1) applying effective, proportionate, and dissuasive sanctions for AML/CFT breaches in non-bank financial institutions and DNFBPs sectors; and (2) pursuing final confiscation judgments commensurate with the risk and context of Gibraltar.”
In response to the confirmation that the process for returning Gibraltar to the FATF’s white list, Minister for Justice, Trade and Industry, the Hon Nigel Feetham KC, commented at the time that “Everyone in Gibraltar will be delighted by this news and warmly welcome this highly positive outcome. I wish to thank all of those authorities who have worked tirelessly in this process and continue to support us in our work to address these action points and [return Gibraltar to the white list] at the earliest possible opportunity.”
23 June 2023
Update from FATF on progress by Gibraltar
“Since June 2022, when Gibraltar made a high-level political commitment to work with the FATF and MONEYVAL to strengthen the effectiveness of its AML/CFT regime, Gibraltar has taken steps to do so, including by demonstrating that the supervisors for trust and company service providers, lawyers, gaming businesses, real estate agents, and other non-bank entities are now using a range of effective, proportionate, and dissuasive sanctions for AML/CFT breaches, specifically by taking more enforcement actions, imposing financial penalties, and publishing the results of cases, where appropriate. Gibraltar should continue to work on implementing its action plan to address its strategic deficiencies, including by showing that it is able to pursue more final confiscation judgments commensurate with the risk and context of Gibraltar.
The FATF notes Gibraltar continued progress across its action plan; however, all deadlines have now expired. The FATF encourages Gibraltar to continue to implement its action plan to address the above-mentioned strategic deficiencies as soon as possible.”
In response, the Government of Gibraltar said that: ““Noting that only one substantive action point remains pending, the Government continues to work tirelessly to meet its action plan at the very earliest opportunity,” No.6 Convent Place said in a statement. The Government is totally committed to this process and all supervisory and other authorities continue to work with FATF to demonstrate our compliance with our action plan. “Our commitment to this process and to be removed from the grey list is 100% and we are on course to progress. The Government and our stakeholders have done everything required of us.”
29 June 2022
Report of a speech on Gibraltar’s compliance with FATF standards in The Gibraltar Parliament
In his budget address in The Gibraltar Parliament today, the Hon Albert Isola addressed the issue of Gibraltar’s grey listing, how we got here and the plan for addressing the issues that arise from it.
Gibraltar has been actively engaged in complying with international standards against money laundering and terrorist financing. The Council of Europe’s MONEYVAL, an autonomous body working closely with the Financial Action Task Force (FATF), is tasked with assessing and recommending improvements in these areas.
In 2015, Gibraltar was permitted to be evaluated by MONEYVAL. The first Mutual Evaluation Report (MER) process began in April 2019, examining Gibraltar’s compliance with FATF’s 40 Recommendations (Technical Compliance) and its effectiveness in implementing these measures.
The report, reviewed and published in December 2019, indicated Gibraltar’s substantial legislative changes, leading to significant improvements in technical compliance. However, as Gibraltar’s ‘broad money’ exceeded 5 billion euros in late 2021, a comprehensive review of its practical effectiveness was necessitated, covering 10 of the 11 Immediate Outcomes set by the FATF.
Gibraltar’s progress was scrutinized by the FATF’s International Co-operation Review Group (ICRG), culminating in a Post Observation Period Report (POPR) presented to the FATF plenary. Despite extensive efforts, on 17th June 2022, the FATF placed Gibraltar under increased monitoring (grey listing) due to two remaining areas of concern relating to regulatory sanctions and confiscation judgements.
HM Government of Gibraltar acknowledges this outcome, accepting the FATF Action Plan with a commitment to demonstrate full compliance in the shortest possible timeframe. The FATF does not mandate enhanced due diligence for jurisdictions under increased monitoring but suggests member states and jurisdictions consider the presented information in their risk analysis.
Throughout this process, HM Government of Gibraltar has maintained close cooperation with HM Treasury and relevant local sectors, reaffirming its commitment to meeting international standards and its strong partnership with the FATF. The government anticipates an early removal from the increased monitoring list, reflecting its dedication to global financial integrity.
17 June 2022
Press Release by His Majesty’s Government of Gibraltar – 422/2022
Gibraltar Commits to Comply with the FATF Action Plan in the Shortest Possible Timeframe – 422/2022
On 17th June 2022, the Financial Action Task Force (FATF), following an extensive review over a number of years, identified Gibraltar as a jurisdiction under increased monitoring in respect of only two points relating to:
- Pursuing regulatory sanctions
- Pursuing final confiscation judgements
The above points are contained within the FATF Action Plan that Gibraltar needs to complete by May 2023.
HM Government of Gibraltar fully accepts this Action Plan as identified by the FATF and is committed, at the highest political level, to show full compliance within the timescale given.
Gibraltar’s published Mutual Evaluation Report by Moneyval originally contained seventy eight recommended actions.
This latest review has therefore reduced the number of outstanding recommended actions to two.
HM Government of Gibraltar’s understanding is that Gibraltar’s final Action Plan is the shortest (being only two points) of any country or jurisdiction that has been identified as under the increased monitoring process.
HM Government of Gibraltar continues to work closely with the FATF and is proud of the relationship that it has with this international standard setting body which we believe is mutually beneficial and designed to deliver the highest standards in our jurisdiction.
19 October 2015
Press Release by His Majesty’s Government of Gibraltar 741/2015
Gibraltar has been proactively seeking to join Moneyval’s Anti-Money Laundering (AML) processes for many years, a goal that predates December 2011. This initiative was driven by HM Government of Gibraltar, reflecting the territory’s longstanding commitment to align with international standards in countering money laundering and terrorist financing. Recently, Gibraltar’s efforts have been recognised with the confirmation that it will now be subject to Moneyval’s mutual evaluation processes and procedures.
Moneyval, established in September 1997 by the Council of Europe, conducts assessments of AML measures in Council of Europe member states and territories outside the Financial Action Task Force (FATF). Gibraltar, not previously a member of FATF or a FATF-style Regional Body (FSRB), was part of a quasi FATF regional body, which was seen as inadequate by HM Government of Gibraltar (HM GOG) for these purposes.
To achieve this status, intensive negotiations took place since 2011, involving officials in Gibraltar and London. These efforts culminated in Gibraltar requesting the United Kingdom to formally apply to the Secretary General of the Council of Europe for Gibraltar’s inclusion in Moneyval’s evaluation processes. The application was successful, as confirmed by the adoption of the Resolution by the Council of Europe Committee of Ministers Deputies.
The Hon Albert Isola, Minister with responsibility for Financial Services, emphasized the significance of this achievement for Gibraltar, highlighting it as a critical step in being recognised as a leader in international cooperation. This development aligns with key objectives set by the elected government and represents a significant milestone, achieved with the support of James Tipping at Gibraltar Finance and officials at the Foreign Office and HM Treasury in London.
