Taiwan Country Summary

FATF Status

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

Compliance with FATF Recommendations

The last Mutual Evaluation Report relating to the implementation of anti-money laundering and counter-terrorist financing standards in Taiwan was undertaken in 2019. According to that Evaluation, Taiwan was deemed Compliant for 10 and Largely Compliant for 26 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.

Taiwan has established a robust legal framework to combat corruption, including stringent laws and penalties aimed at public officials and procurement processes. The government actively enforces these regulations, evidenced by the Control Yuan's recent findings of violations and significant fines, while also promoting ethical corporate practices among publicly listed companies to enhance transparency and accountability.

Taiwan is a vital player in global trade and investment, ranking among the world's top 20 economies and serving as the United States' 8th largest trading partner. The economy, characterized by a skilled workforce and a strong focus on high-tech manufacturing, particularly in semiconductors and telecommunications, is heavily reliant on exports. The government is actively promoting foreign direct investment (FDI) through incentives and initiatives aimed at enhancing Taiwan's technological capabilities, while also addressing structural challenges such as regulatory inconsistencies and foreign ownership limits in sensitive sectors.