Soreca visited Bošnjak: Fulfill key obligations for BiH to avoid FATF 'grey list', show progress by February

(Patria) - Deputy Minister of Security of Bosnia and Herzegovina Ivica Bošnjak met today in Sarajevo with the Head of the European Union Delegation to BiH Luigi Soreca.

During the meeting, they discussed eliminating deficiencies in the system for preventing money laundering and terrorist financing, ahead of the expiry of the one-year observation period for Bosnia and Herzegovina by the Financial Action Task Force (FATF), in order for BiH to avoid being placed on the list of jurisdictions under enhanced surveillance – the so-called “grey list”.

The European Union Delegation to BiH warned that Bosnia and Herzegovina must take urgent and concrete steps in the coming weeks to avoid being placed on the “grey list”. Potential inclusion on this list would mean that the country is insufficiently applying international standards in the area of preventing money laundering and terrorist financing, which could have serious economic and financial consequences for the institutions, economy, and citizens of Bosnia and Herzegovina.

To avoid being placed on the FATF “grey list”, competent institutions need to accelerate the implementation of recommended measures, especially in the area of strengthening capacities for preventing money laundering and terrorist financing, more effective supervision of the non-financial sector, improving international cooperation, and implementing targeted United Nations financial sanctions.

Bošnjak emphasized that significant progress has been made in implementing activities within the competence of the BiH Ministry of Security. A Permanent Coordination Body for the Prevention of Money Laundering and Terrorist Financing Activities has been established, as a key coordination mechanism for all competent authorities in Bosnia and Herzegovina, the Rulebook on the Implementation of the Law on Prevention of Money Laundering and Terrorist Financing Activities has been adopted, and intensive activities are being carried out for the final harmonization of the Draft Law on the Application of Restrictive Measures, which primarily relates to the implementation of United Nations Security Council resolutions.

It was emphasized that the establishment of an effective system for managing confiscated illicitly acquired assets at the state level is one of the priority activities that the authorities in Bosnia and Herzegovina need to regulate, as well as the establishment of beneficial ownership registers by competent institutions at the entity level, in accordance with international standards and MONEYVAL recommendations.

It is crucial that Bosnia and Herzegovina demonstrates measurable and sustainable progress in all priority areas identified by MONEYVAL by February 2026.