Key Documents

Saudi Arabia Passes AML Legislation

August 23, 2003

Saudi Arabia Publishes Third Update to AML/CTF Rules for Banks

February 1, 2012

Saudi Arabia Revises AML/CTF Rules for Financing Companies

February 1, 2012

Saudi Arabia Updates Bank Account Opening Procedures

February 26, 2012

Saudi Arabia Drafts AML Procedures for Insurance Companies

January 11, 2009

Saudi Arabia Issues Enhanced Customer Due Diligence Rules for Capital Markets

December 1, 2008

Important Facts

The U.S. State Department identifies Saudi Arabia as a jurisdiction of concern. Saudi Arabia is a growing financial center in the Gulf Region. Although Saudi authorities have noted a rise in narcotics trafficking during the past few years, there is no indication of significant narcotics-related money laundering. Bulk cash smuggling from individual donors and Saudi-based charities has been a major source of financing to extremist and terrorist groups over the past 25 years. Funds are reportedly collected and illicitly transferred in cash because of tighter bank regulations. Despite serious and effective efforts to counter terrorist financing originating from within its borders, entities in Saudi Arabia are likely to continue serving as sources of cash flow to Sunni-based extremist groups. Saudi Arabia has publicly imposed sanctions on more than 20 Hizballah-affiliated individuals and companies since May 2015. Some Saudi officials acknowledge difficulty in following the money trail with regard to illicit finance because of the preference for cash transactions in the country and the regulatory challenges posed by hawalas.
KYC Covered Entities: Banks and licensed money remitters and exchangers; real estate agents; investment and insurance companies; dealers in rare commodities (e.g., antiques) and precious metals and stones; lawyers, auditors, and accountants
STR Covered Entities: Banks and licensed remittance and exchange companies; investment and insurance companies; dealers in rare commodities (e.g., antiques) and precious metals and stones; real estate agents, lawyers, auditors, and accountants
Enhanced Due Diligence Procedures for PEPs: Foreign: Yes; Domestic: Yes
Money Laundering Criminal Prosecutions/Convictions: Prosecutions: N/A; Convictions: N/A

Source: 2016 International Narcotics Control Strategy Report (INCSR)

Rankings

FATF i | 2013 Methodology

Technical	Effectiveness
Compliant : 17	High : 0
Largely Compliant : 21	Substantial : 4
Partially Compliant : 2	Moderate : 4
Non-Compliant : 0	Low : 3

Saudi Arabia's technical compliance was re-rated in a Jan. 17, 2020 follow-up report

BASEL i

Rank : 60/141

Score : 5.33/10

TRANSPARENCY INTERNATIONAL i

Rank : 51/180

Score : 53/100

Tax Justice Network i

Rank : 45/133

Score : 67/100

Saudi Arabia

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