What's happened
On June 10, 2025, the EU removed the UAE from its money-laundering 'high-risk' list while adding Monaco and nine other jurisdictions, including Venezuela. This update follows a review by the Financial Action Task Force and will be scrutinized by the European Parliament before implementation.
What's behind the headline?
Key Points:
- The removal of the UAE indicates a shift in the EU's stance on its financial regulations, possibly reflecting improved compliance.
- Adding Monaco and other jurisdictions suggests a tightening of scrutiny on regions perceived as high-risk for money laundering.
- The EU's commitment to align with FATF standards highlights the importance of international cooperation in combating financial crimes.
Implications:
- Countries like Venezuela, now under increased monitoring, may face economic repercussions as they work to improve their financial controls.
- The EU's actions could influence global perceptions of these jurisdictions, impacting foreign investment and economic relations.
- The scrutiny from the European Parliament may lead to further adjustments in the EU's approach to financial regulation, emphasizing transparency and accountability.
What the papers say
According to Politico, the European Commission's latest update added Venezuela to the blacklist while removing the UAE, stating, 'the draft is exactly the same as was circulated last week.' The New Arab elaborates that the EU's decision to remove the UAE follows a February report from the FATF, which had previously lifted the Philippines from its high-risk list. Gulf News notes that Monaco's government is prepared for this update, emphasizing its commitment to improve its financial controls. This consensus among sources indicates a significant shift in the EU's regulatory landscape, reflecting ongoing efforts to combat money laundering effectively.
How we got here
The EU's decision stems from ongoing efforts to align with international standards set by the Financial Action Task Force (FATF). The FATF's grey list includes countries under increased monitoring for money laundering and terrorism financing.
Go deeper
- What are the implications for Monaco?
- How does this affect international finance?
- What steps will Venezuela take next?
Common question
-
Why Did the EU Remove the UAE from Its Money-Laundering High-Risk List?
On June 10, 2025, the EU made significant changes to its money-laundering jurisdiction list, removing the UAE while adding Monaco and Venezuela. This decision raises questions about the implications for international business and the ongoing efforts to combat money laundering. Below, we explore the key questions surrounding these changes.
More on these topics
-
The United Arab Emirates, sometimes simply called the Emirates, is a sovereign state in Western Asia at the northeast end of the Arabian Peninsula on the Persian Gulf, bordering Oman to the east and Saudi Arabia to the south and west, as well as sharing m
-
The European Union is a political and economic union of 27 member states that are located primarily in Europe. Its members have a combined area of 4,233,255.3 km² and an estimated total population of about 447 million.
-
Monaco, officially the Principality of Monaco, is a sovereign city-state, country, and microstate on the French Riviera in Western Europe. It is bordered by France to the north, east and west, and by the Mediterranean Sea to the south.