Albania is ranked as one of two of the countries most at risk from money laundering.
The Money Laundering and Terrorist Financing Index, published by the Basel Institute, ranks Albania second in Europe, leaving only Turkey with a higher risk of financial crime. Among the 141 countries worldwide that the index monitors, Albania ranks 44rth.
Albania is rated with 5.69 points, in a rating system from 0 (low risk) to 10 (high risk). This means that there has been a small improvement compared to a year ago when Albania received 6 points. It shows, however, that there is still a lot of work to be done. It is worth noting that in 2019, Albania was one of four ‘at risk’ countries, whereas this year, it is one of two.
Other at-risk countries like Serbia and Ukraine showed improvements over the last 12 months, meaning they are no longer considered amongst the most at risk.
Albania ranks above the average level of risk globally. Countries in Europe that are least at risk include Estonia, Finland and Bulgaria. In the Western Balkans, Montenegro scored worst out of all with 3.75 points, yet it did not receive the same “at-risk” designation that neighbouring Albania did.
Globally, the most vulnerable countries are Afghanistan, Haiti, and Myanmar.
The Basel Institute’s Money Laundering Index measures the risk of money laundering and terrorist financing based on a country’s public resources. The index measures 15 indicators such as the legal framework for money laundering and terrorist financing, corruption, financial standard, political transparency and law enforcement.
As there is no quantitative data, the Basel Index does not measure the actual existence of money laundering activity or the amount of dirty money incurred in the country, but only shows the level of risk or weakness of a country to serve as a place for money laundering and terrorist financing.