top of page

MONEYVAL Eases Oversight of Hungary After Improvements in Money Laundering and Digital Asset Regulation

Updated: Jun 21

MONEYVAL, the Council of Europe’s anti-money laundering committee, is reducing its oversight of Hungary after the country enhanced its regulatory approach to money laundering and digital assets. In a report released on Monday, MONEYVAL noted that Hungary has improved its compliance with several recommendations from the Financial Action Task Force (FATF).

MONEYVAL Eases Oversight of Hungary After Improvements in Money Laundering and Digital Asset Regulation

Countries are evaluated as compliant, largely compliant, partially compliant, or non-compliant with any of FATF’s 40 recommendations, which include measures related to money laundering and the beneficial ownership of legal entities. In its previous MONEYVAL assessment in 2022, Hungary had addressed several technical deficiencies in its money laundering regulations. However, the country faced challenges with FATF’s recommendation 15, concerning new technologies, and recommendation 8, related to protecting non-profits from misuse for terrorist financing. Hungary had requested a re-evaluation of its compliance with both recommendations.

In the new report, MONEYVAL determined that Hungary remains ‘partially compliant’ with recommendation 8 but showed improvement regarding recommendation 15. “Hungary has demonstrated that it has taken actions to identify natural or legal persons that carry out VASP (Virtual Asset Service Providers) activities and do not comply with the requirements of the AML/CFT Act,” the report stated. Consequently, Hungary’s rating for recommendation 15 was upgraded from ‘Partially Compliant’ to ‘Largely Compliant’.

Cyprus Company Formation

Overall, Hungary’s current ratings out of the 40 FATF Recommendations are:

- Compliant: five recommendations

- Largely Compliant: 33 recommendations

- Partially Compliant: two recommendations

Following these improvements, MONEYVAL announced that Hungary “has been granted removal from the fifth-round follow-up process, as per MONEYVAL’s rules of procedure.” Hungary’s next on-site visit will occur in April 2026 to assess further progress in addressing its remaining money laundering issues.

Hungary is under the leadership of a right-wing government headed by Prime Minister Viktor Orban. His pro-Russia and anti-Ukraine stance has caused numerous delays in EU programs over recent years.



bottom of page