Kiribati Country Summary

FATF Status

Kiribati is not on the FATF List of Countries that have been identified as having strategic AML deficiencies

Compliance with FATF Recommendations

Kiribati has not yet undertaken a Mutual Evaluation Report relating to the implementation of anti-money laundering and counter-terrorist financing.

Kiribati faces significant challenges related to crime and corruption, particularly in the areas of human trafficking, illegal fishing, and financial crimes. While the country has a relatively low presence of organized crime, issues such as forced labor, sexual exploitation, and the illicit trade of goods are prevalent, compounded by a lack of resources and oversight to effectively combat these threats.

Kiribati's economy is primarily reliant on fishing and copra exports, with a significant dependence on international aid and remittances, categorizing it as one of the least developed nations globally. The country's GDP is notably low, and it faces challenges such as limited domestic production capabilities, leading to a heavy reliance on imports for essential goods; however, there are emerging opportunities in tourism and retail that indicate potential economic growth. The investment climate is shaped by the need for infrastructure development and foreign aid, but it is hindered by political instability and environmental vulnerabilities, which can deter foreign investment despite government efforts to create a more favorable environment.