Monaco on the EU’s “blacklist”: How this affects investors and businesses
On June 10, 2025, the European Commission officially added Monaco to the list of jurisdictions with significant deficiencies in anti-money laundering (AML) and counter-terrorism financing (CFT). This move sent a strong signal to EU banks and companies — all transactions related to Monaco will now undergo enhanced financial scrutiny.
What happened?
The European regulator published an updated list of high-risk AML/CFT jurisdictions. For the first time, Monaco — traditionally considered a “prestigious haven” for capital — was added to this list.
The reasons for inclusion include:
- a low level of oversight over offshore structures;
- lack of transparency in beneficial ownership;
- slow implementation of FATF standards (Financial Action Task Force).
This decision has cast doubt on the financial reputation of the principality, which had long been positioned as a stable location for capital preservation.
How will this affect company owners and investors?
🔸 Transfers to/from Monaco will now be subject to stricter monitoring by EU banks.
🔸 Registering new companies linked to Monaco will become more difficult — compliance checks will be more rigorous.
🔸 Existing structures may face account opening refusals, changes in servicing conditions, or even account closures.
🔸 Investors may lose trust in Monaco as a low-regulatory-risk jurisdiction, especially in the private banking sector.
Should company owners with Monaco ties be concerned?
Currently, no harsh sanctions are in place, but the reputational risk has significantly increased. If your structure is linked to Monaco in any way, it is advisable to:
- review your beneficial ownership structure;
- assess how your jurisdiction is viewed by European banks;
- consider relocating operational activities or registration to jurisdictions not under increased scrutiny, if needed.
Alternatives to Monaco: Where to store capital in 2025?
GLS Law’s legal team helps clients safely and efficiently structure and place their assets:
- in Estonia, the UK, and Cyprus — for IT, service, and venture businesses;
- in Switzerland or the UAE — for private banking and family office needs;
- via funds, trusts, or investment companies — for long-term capital management.
📩 Need an assessment of your situation?
Leave a request for a consultation — we’ll help you design a secure asset structuring strategy.
