Mexico Country Summary
Medium Risk
View full Ratings TableSanctions
Lower Concern
FATF AML Deficient List
Lower Concern
Terrorism
Lower Concern
Corruption
Higher Concern
US State ML Assessment
Higher Concern
Criminal Markets (GI Index)
Higher Concern
EU Tax Blacklist
Lower Concern
Offshore Finance Center
Lower Concern
Please note that although the below Summary will give a general outline of the AML risks associated with the jurisdiction, if you are a Regulated entity then you may need to demonstrate that your Jurisdictional AML risk assessment has included a full assessment of the risk elements that have been identified as underpinning overall Country AML risk. To satisfy these requirements, we would recommend that you use our Subscription area.
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Anti Money Laundering
FATF Status
Mexico is not currently 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 Mexico was undertaken by the Financial Action Task Force (FATF) in 2023. According to that Evaluation, Mexico was deemed Compliant for 10 and Largely Compliant for 24 of the FATF 40 Recommendations. It remains Highly effective for 0 and Substantially Effective for 4 of the Effectiveness & Technical Compliance ratings.
Sanctions
U.S. regulators have identified Mexico as a transshipment point for restricted goods destined for Russia, and have imposed targeted sanctions against Mexican entities and individuals connected to sanctions evasion, particularly in relation to Venezuela. The report also notes enforcement pressures involving Mexico, including Pemex facing secondary sanctions risks after proposals to sell gasoline to Venezuela under a humanitarian pretext, and the Financial Intelligence Unit freezing accounts of sanctioned entities in 2020.
Criminality
Rating |
0 (bad) - 100 (good) |
|---|---|
| Transparency International Corruption Index | 27 |
| World Bank: Control of Corruption Percentile Rank | 17 |
Crime and corruption in Mexico are pervasive issues that significantly undermine governance and societal trust. Corruption manifests in various forms, particularly within the public sector, where government officials often engage in bribery and embezzlement, while the private sector faces challenges related to fraud and conflicts of interest, exacerbated by a weak legal framework and inconsistent enforcement of anti-corruption measures.
Despite the government's efforts to implement reforms, such as the establishment of the National Anti-Corruption System, progress has been limited, and civil society organizations continue to advocate for more robust actions against corruption. Additionally, organized crime, particularly drug trafficking, extortion, and human trafficking, remains a critical challenge, with criminal organizations exerting significant influence and control, often facilitated by entrenched corruption within state institutions.
Economy
Mexico's economy has demonstrated resilience, maintaining an average GDP growth of 2% from 1994 to 2024, with a growth rate of 1.2% in 2024. The country has solidified its position as a key trading partner for the United States, with bilateral trade increasing nearly eightfold over the past three decades, while foreign direct investment (FDI) from the U.S. reached USD 283.8 billion in 2023. However, challenges such as regulatory uncertainty, security concerns, and corruption persist, particularly in the energy sector, where recent constitutional reforms favor state-owned enterprises, complicating the investment climate for foreign investors.
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