Ricardo Martinelli: “This is an Achievement of this Government, which Cared about the Country’s Image, unlike the Previous One.”

Panama regains “international trust” after being removed from the European Union (EU) money laundering list.  Former President Ricardo Martinelli, above right, attributed Panama’s removal from the European Union’s list of high-risk jurisdictions to the work done by the current government.  “This is an achievement of this government that cared about the country’s image, not like the previous ones, run by two inept morons who only went to steal and increase the foreign debt, to enrich themselves and destroy the political system and end social peace,” wrote Martinelli on his X account. 

For his part, lawyer Adolfo Linares agrees that previous administrations did not address the issue firmly.  According to the lawyer, Panama should never have been on this list.  “A large part of why we stayed there from the beginning was due to the pusillanimous, subservient, cowardly, and irresponsible attitude of the Juan Carlos Varela (above left) and Nito Cortizo (above right) governments in particular,” he told Panamá en Directo.  Linares noted that these lists are political, not technical, so much so that it’s easy to enter individually, but to exit; you have to vote as a bloc.  “It’s an achievement, a big step,” the lawyer reflected.

Opening Opportunities

The government said Wednesday that the country has regained “international confidence” by being removed from the European Union’s (EU) money laundering list, which in turn “opens doors to foreign investment” in the Central American nation.  “Today, the European Union voted to remove Panama from its list of high-risk countries. This is recognition of the serious work we are doing as a country.

Thanks to the entire government team that worked to restore international trust,” wrote Panamanian President José Raúl Mulino on his X account.  In a statement, the Panamanian Foreign Ministry affirmed that “Panama has successfully removed itself from the list of high-risk jurisdictions that present strategic deficiencies in their national regimes to combat money laundering and terrorist financing,” following a vote this Wednesday in the European Parliament that ratified a similar proposal from the EU Commission.

Panama’s President José Raúl Mulino affirmed that Panama will have a new global image after being excluded from the European Union’s list of high-risk jurisdictions for money laundering and terrorist financing. He expressed his gratitude for the efforts of the various stakeholders involved.

U.S. Ambassador Congratulates Panama on its Removal from the EU Money Laundering List

This significant achievement reflects the hard work Panama has done to combat money laundering, said Kevin Cabrera, pictured above. The United States ambassador to Panama, Kevin Marino Cabrera, congratulated the Central American country on Wednesday for its exclusion from the European Union (EU) money laundering list and highlighted its efforts to “improve the investment climate.”  “Congratulations! This significant achievement reflects the hard work that Panama has done to combat money laundering and improve its investment climate,” the US diplomat said on his X account.  The Government of Panama said on Wednesday that the country regains “international confidence” by having been excluded from the list drawn up by the EU, which in turn “opens doors to foreign investment” from Europe in the Central American nation. 

“Today, the European Union has voted in favor of removing Panama from its list of high-risk countries. It is recognition of the serious work we are doing as a country. Thanks to the entire government team that worked to regain international trust,” wrote Panamanian President José Raúl Mulino on his X account.  In a statement, the Panamanian Foreign Ministry stated that “having demonstrated significant technical advances and sustainability, as well as the results of a diplomatic offensive directly before the European Union, the country has finally been recognized in its efforts and has managed to be excluded from the list, an “achievement” that “does justice to the country’s reputation and opens doors to foreign direct investment from Europe.” 

The European Parliament decided this Wednesday not to object to the proposal, presented by the European Commission on June 10, which removes Panama and other jurisdictions from the money laundering list, after the European Parliament had rejected the repertoire that the Community Executive had initially proposed in April 2024.  With this update, they are removed from the list, in addition to Panama, Gibraltar, Barbados, Jamaica, the Philippines, Senegal, Uganda, and the United Arab Emirates (UAE), while Venezuela, Algeria, Angola, Ivory Coast, Kenya, Laos, Lebanon, Monaco, Namibia, and Nepal will be included. 

This list—different from the list of tax havens compiled by the Council of the European Union—identifies jurisdictions whose regulations do not guarantee an effective fight against money laundering and terrorist financing. This follows a consultation process between the Commission and the jurisdictions analyzed, allowing them to offer commitments to amend their regulations and avoid inclusion in the list.  Appearance on the list does not entail sanctions, but it does require European financial institutions and other organizations to apply greater vigilance to operations carried out by entities established in these territories.  In October 2023, Panama was excluded from the Financial Action Task Force (FATF) grey list due to progress in its fight against money laundering and terrorist financing.  Panama has been one of the FATF’s so-called “jurisdictions under enhanced surveillance” since June 2019.