Switzerland Country Summary

FATF Status

Switzerland 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 Mutual Evaluation Report relating to the implementation of anti-money laundering and counter-terrorist financing standards in Switzerland was undertaken in 2023. According to that Evaluation, Switzerland was deemed Compliant for 8 and Largely Compliant for 29 of the FATF 40 Recommendations. It was also deemed Highly Effective for 0 and Substantially Effective for 7 with regard to the 11 areas of Effectiveness of its AML/CFT Regime.

Switzerland exhibits a low perception of corruption, supported by a robust legal framework that criminalizes both public and private bribery, with effective enforcement mechanisms in place. However, the country faces challenges related to organized crime, particularly from foreign criminal groups involved in drug trafficking and human trafficking, while also grappling with vulnerabilities in anti-corruption efforts and financial regulations.

Switzerland boasts a favorable investment climate characterized by a welcoming attitude towards international investors and a stable economic environment. The country benefits from a transparent legal framework, efficient capital markets, and a highly skilled, multilingual workforce, which attract many U.S. firms to establish their European headquarters there. With competitive corporate tax rates and minimal barriers to foreign investment, Switzerland has successfully attracted over $1 trillion in cumulative inward direct investment, with a significant portion coming from the United States, while maintaining a strong commitment to innovation and intellectual property protection.