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 robust legal frameworks and effective enforcement mechanisms against both public and private sector corruption. Despite its strengths, the country faces challenges such as rising human trafficking, drug-related crimes, and vulnerabilities in anti-money laundering efforts, alongside the influence of foreign criminal organizations.

Switzerland presents a favorable investment climate characterized by its welcoming stance towards international investors and a robust regulatory framework. The federal government, alongside its 26 cantons, establishes laws that promote corporate structure and financial systems while allowing local authorities to tailor investment policies to attract businesses. This decentralized approach, combined with a competitive economy, transparent legal system, and high quality of life, has made Switzerland a preferred location for many U.S. firms seeking a European base, particularly in sectors such as information technology, pharmaceuticals, and machine engineering.