BRUSSELS: The European Union has officially removed the United Arab Emirates (UAE) from its list of countries deemed high-risk for money laundering. This decision, announced on Tuesday, follows a comprehensive review of the UAE’s regulatory framework and enforcement measures.
The European Commission confirmed that the UAE, alongside Barbados, Gibraltar, Jamaica, Panama, the Philippines, Senegal and Uganda, has been delisted due to significant improvements in anti-money laundering (AML) controls. The decision reflects the EU’s recognition of the UAE’s commitment to aligning with international financial standards and enhancing transparency.
This move marks a crucial milestone for the UAE’s financial sector, boosting investor confidence and reinforcing the country’s global business standing. Analysts suggest the change could positively impact foreign investment and financial partnerships with EU-based institutions.
While the UAE and several others have been cleared, the Commission added ten new countries to the list. These include Monaco, Algeria, Angola, Ivory Coast, Kenya, Laos, Lebanon, Namibia, Nepal and Venezuela. These jurisdictions will now be subject to enhanced scrutiny concerning AML efforts.
The list is designed to safeguard the EU’s financial system and ensure stringent due diligence on financial transactions with countries that pose higher risks. Being delisted means that banks and financial firms across the EU will no longer be required to carry out additional checks on transactions with the UAE.
The European Commission periodically updates the list based on assessments by the Financial Action Task Force (FATF) and its own reviews. The latest changes are part of broader efforts to fortify financial stability and prevent illicit financial flows.
