Summary：**Council of Europe Demands Urgent Crackdown on Money Laundering in Armenia** *Robust targeted fina

**Council of Europe Demands Urgent Crackdown on Money Laundering in Armenia**
*Robust targeted financial‑sanctions regime highlighted by MONEYVAL*

**Introduction**
The Council of Europe’s anti‑money‑laundering body, MONEYVAL, has issued a stark warning to Armenian authorities, urging an immediate and comprehensive crackdown on illicit financial flows. The call comes after a recent evaluation revealed gaps in Armenia’s legal framework and enforcement mechanisms that could be exploited by criminal networks seeking to launder proceeds from corruption, fraud, and cybercrime. Policymakers now face pressure to align national legislation with international standards and to implement a robust, targeted financial‑sanctions regime capable of deterring and disrupting money‑laundering activity.

**Key Developments**
MONEYVAL’s latest report, released in early November, highlighted several deficiencies: insufficient beneficial‑ownership transparency, limited coordination between the Financial Monitoring Center and law‑enforcement agencies, and a lack of effective sanctions against individuals and entities linked to illicit finance. In response, the Council of Europe’s Committee of Ministers adopted a resolution urging Armenia to adopt a targeted sanctions list, freeze assets of designated persons, and enhance information‑sharing protocols with EU and Eurasian partners. Armenian officials have pledged to draft amendments to the Law on Combating Money Laundering and Terrorist Financing by the end of Q1 2026, aiming to bring the country into full compliance with the FATF recommendations.

**Industry Analysis**
Financial‑sector analysts warn that without swift action, Armenia could see a rise in cross‑border illicit transactions, particularly involving cryptocurrency exchanges and real‑estate purchases—sectors already identified as high‑risk in the M