Italy AML Statistics 1st Half 2024

Italy AML Statistics

Italy’s Financial Intelligence Unit (FIU) has released detailed statistics on anti-money laundering (AML) activities and trends for the first half of 2024. This report provides insights into suspicious transaction reports (STRs), cash transactions, remittance flows, and regulatory compliance efforts by financial institutions. Here’s a summary of the key findings:

1. Suspicious Transaction Reports (STRs)

During the first half of 2024, Italy saw a notable increase in STRs compared to previous periods. Financial intermediaries, such as banks, insurance firms, and electronic money institutions, accounted for the majority of these reports. Banks, post offices, and the Cassa Depositi e Prestiti (CDP) alone contributed over 95% of all STRs, reflecting the robustness of their AML controls.

2. Cash Transactions

The volume and value of cash transactions have decreased, with deposits and withdrawals both experiencing a drop of over 8% from the previous semester. This decline is attributed to tighter cash flow monitoring and increased preference for electronic transactions. Nonetheless, cash transactions remain prevalent in sectors like retail, agriculture, and hospitality, which account for approximately 69% of cash flow activity.

3. Remittance Trends

The report highlights significant activity in remittance flows, with outgoing remittances far exceeding incoming ones. Outgoing remittances totaled 3.8 billion euros, primarily directed to countries such as Bangladesh, Pakistan, Morocco, and the Philippines. Conversely, incoming remittances amounted to only 207 million euros, reflecting a considerable imbalance in cross-border financial flows.

4. International Transfers and High-Risk Jurisdictions

The FIU report indicates a sharp reduction in transfers to and from countries labeled as high-risk or with non-cooperative tax regimes, largely influenced by Switzerland’s removal from Italy’s high-risk jurisdiction list. This change has contributed to a 26.4% drop in incoming transfers and an 18.2% decrease in outgoing transfers with these regions, underscoring the impact of evolving international tax policies.

5. Regulatory Compliance and Inspections

The FIU responded to 176 requests from the Judicial Authority, issuing 393 compliance notes. Additionally, the Unit conducted 13 inspections, two more than in the same period in 2023. These inspections targeted a diverse range of financial operators, reinforcing Italy’s commitment to AML regulations. Collaboration with foreign FIUs remained high, with 429 information requests forwarded, marking an increase over the previous year.

6. Exchange of Information with EU and Non-EU Counterparts

Cross-border AML cooperation saw a slight increase in exchanges with European Union Financial Intelligence Units (FIUs), with Italy’s FIU processing nearly 38,000 cross-border reports from EU FIUs. The number of requests received from non-EU counterparts remained stable, reflecting ongoing international collaboration in AML efforts.

The first half of 2024 saw Italy strengthening its anti-money laundering measures across multiple fronts, from suspicious activity reporting to regulatory inspections and cross-border cooperation. These statistics demonstrate the ongoing challenges Italy faces in mitigating money laundering risks, especially in cash-intensive sectors and high-risk jurisdictions. Moving forward, Italy’s FIU is expected to maintain its focus on compliance and international cooperation to combat financial crimes effectively.

This comprehensive overview of Italy’s AML efforts for 2024 illustrates the country’s proactive approach in addressing financial crimes and fostering transparency in cross-border financial transactions.

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