Monaco on track to exit FATF grey list by end of 2026
By Zak Jackson, MonacoViews Editorial
FATF evaluators have acknowledged fresh progress from Monaco on money laundering and terrorist financing controls, and will visit the Principality in late summer.
Monaco is edging closer to removal from the Financial Action Task Force's grey list after evaluators recognised significant new progress in the Principality's efforts to combat money laundering and terrorist financing. The announcement follows a formal review in which FATF assessors confirmed they will travel to Monaco later this summer - a step that, based on precedent, typically signals a country is approaching a clean bill of health.
A late-summer on-site visit from FATF is widely read as the final stage before a formal exit from enhanced monitoring. Previous countries that received similar visit confirmations were removed from the grey list within months. For Monaco, which was placed under increased scrutiny in 2022, departure before the end of 2026 now appears a realistic prospect.
The practical implications for the Principality are considerable. Grey-list status imposes additional compliance burdens on Monaco-based financial institutions and can complicate cross-border transactions, correspondent banking relationships and due diligence requirements for international counterparts. Removal would ease friction for the many private banks, wealth managers and family offices operating from the Principality, and would remove a reputational overhang that has weighed on the financial services sector for four years.