Austria: Detailed Assessment Report on Anti-Money Laundering/Combating the Financing of Terrorism

This paper presents a detailed assessment report on anti-money laundering and combating the financing of terrorism (AML/CFT) for Austria. This report analyses the level of compliance with the Financial Action Task Force 40 recommendations and the effectiveness of Austria’s AML/CFT system and provides recommendations on how the system could be improved. The authorities also took measures to increase the effectiveness of the AML/CFT framework. Most notable are the improvements related to transparency of beneficial ownership, financial sector supervision, and terrorist financing investigations. A whole-of-government perspective is pending. The national AML/CFT strategy and action plan emphasize broad overarching objectives to strengthen the AML/CFT framework. Missing are risk-based measures aimed at effective implementation, and an agreed common implementation policy with targets, objectives, and feedback loops. The transformation of the Austrian Financial Intelligence Unit into an intelligence-focused body has improved analytical capacity. Transparency of legal entities is further positively supported by other appropriate risk mitigating measures, such as the registration of all nominee arrangements, and a focus on high-risk sectors based on good typologies.