Kyrgyzstan

New Documents

The Eurasian Group on Money Laundering issued a press release, praising the Kyrgyz Republic for its formation of a state Financial Intelligence Service.

The Eurasian Group on Combating Money Laundering and Financing of Terrorism informed the public that the National Bank of the Kyrgyz Republic implemented a resolution that outlines procedures for remotely identifying and verifying clients.

News

Enforcement Actions

0 Items Found


Important Facts

  • The U.S. State Department labels Kyrgyzstan as a major money laundering jurisdiction. While the country is not a regional financial center, a large shadow economy, corruption, organized crime, and narcotics trafficking make the country vulnerable to financial crime. In 2019, known remittances from migrant workers comprised nearly 33 percent of Kyrgyzstan's GDP, and a significant portion of remittances entered the country through informal channels or was hand-carried from abroad. The State Department notes that Kyrgyzstan is strengthening its efforts to combat money laundering and other financial crimes, but challenges remain to the implementation of significant new laws and regulations. Specifically, the Kyrgyz government passed a new AML law and new criminal legislation to match international standards, but only minimal progress has been made to implement the new legislation. The main source of income for organized crime groups in the country appears to be narcotics trafficking, and to a lesser extent, smuggling of consumer goods, tax and tariff evasion, and official corruption. Money laundering also occurs through trade-based fraud, bulk-cash couriers, and informal money transfer services. The Kyrgyz government does not publish or provide detailed data on money laundering prosecutions and convictions.
Source: 2020 International Narcotics Control Strategy Report (INCSR)
  • KYC Covered Entities:  Banks, credit institutions, stock brokerages, foreign exchange offices, insurance companies, notaries, attorneys, regulators, tax consultants and auditors, realtors, the state’s property agency, trustees, jewelry stores and dealers, and customs officers
  • STR Covered Entities:  Banks; finance organizations and offices; mortgage companies and credit organizations; credit unions; insurance/re-insurance organizations; professional participants of the equity market; private pension funds and retirement assets management companies; financial leasing companies; persons providing funds or value transfer; currency exchanges, pawnshops, and buyer companies; commodity exchanges; persons organizing and conducting lotteries; realtors; dealers of precious metals and stones; trustee services, including trust companies; and postal and telegraph services providing funds transfers
  • Enhanced Due Diligence Procedures for PEPs: Foreign: Yes; Domestic: No
  • Money Laundering Criminal Prosecutions/Convictions: Prosecutions: 0 (2015); Convictions: 0 (2015)
Source: 2016 International Narcotics Control Strategy Report (INCSR)

Rankings

FATF i | 2013 Methodology

Technical Effectiveness
Compliant : 4 High : 0
Largely Compliant : 35 Substantial : 0
Partially Compliant : 0 Moderate : 9
Non-Compliant : 1 Low : 2

Kyrgyzstan's technical compliance was re-rated in a Nov. 29, 2019 follow-up report

BASEL i

Rank : 27/141
Score : 6.32/10

TRANSPARENCY INTERNATIONAL i

Rank : 126/180
Score : 30/100

Tax Justice Network i

Rank : N/A
Score : N/A