What is the MONEYVAL evaluation procedure? 

MONEYVAL’s system of peer review is based on the FATF model, however the process of self-assessment and mutual evaluation is undertaken against a more extensive set of anti-laundering standards. In addition to the Forty Recommendations and the nine Special recommendations on the Financing of Terrorism, participating countries are assessed in relation to their compliance with the 1988 UN and 1990 Council of Europe conventions and both of the EU directives.

Firstly, MONEYVAL evaluation procedures involve the collection of information through a questionnaire.

The standard questionnaire was agreed at the FATF Plenary meeting in June 2004 (and amended in June 2005). It was subsequently endorsed by MONEYVAL and complemented – due to the specific scope of evaluations carried out by the Committee – by issues linked to the European Union relevant Directives.  These are additional to criteria within the FATF Recommendations.

This is followed by an on-site country visit (1 week) by a team of experts and a member of the Secretariat with a view to meeting practitioners who work for the sectors concerned and solicit further information. The visit leads to the drafting of the evaluation report, which goes through a number of rounds of consultation between the evaluators and the Secretariat and is subsequently sent to the country for comments. The report is revised in the light of the comments accepted by evaluators in the course of a joint meeting with representatives from the country and is then submitted for consideration and adoption to the Committee.

The report adopted by MONEYVAL provides a summary of the AML/CFT measures in place in the country as at the date of the on-site visit or immediately thereafter. It describes and analyses these measures, and provides recommendations on how certain aspects of the systems could be strengthened. It also sets out the country’s levels of compliance with the FATF 40 + 9 Recommendations. All countries are required to provide a progress report 12 months after the adoption of the 3rd round report according to the template progress report.

The Committee can invoke further peer pressure through a “compliance enhancing procedure”, involving a graduated series of steps to ensure compliance with specific aspects of the mutual evaluation report.

Following its 28th  Plenary meeting, the amended Rules of procedures now provide for automatic publication of mutual evaluation reports 3 months after adoption of reports. 3rd round progress reports, other updates and relevant follow up reports are also subject to automatic publication on the MONEYVAL website. 
 

Moneyval’s evaluation rounds

The evaluation process of the participating States is based on several rounds.

First evaluation round (1998-2000)
The first round of mutual evaluations was initiated in April 1998 and on-site visits were concluded in December 2000. 22 Council of Europe member states which passed the first evaluation round were examined during the second round of evaluation.

Second evaluation round (2001-2004)
MONEYVAL concluded at the end of 2003 its second round of on-site visits.  This second round included evaluation against the criteria for non-cooperative states and territories. MONEYVAL also conducted on-site evaluation visits covering both money laundering and terrorist financing in several member States (Azerbaijan, Armenia, Serbia and Montenegro, and Bosnia and Herzegovina).

Third evaluation round (2005-2009)
The third round of mutual evaluations will end in December 2009. All these evaluations are conducted according to the new comprehensive global methodology agreed with the FATF, the FSRBs, IMF and World Bank and cover both money laundering and terrorist financing. This evaluation focuses on the effectiveness of the legal, financial and law enforcement measures in place to combat both money laundering and now financing of terrorism.

Fourth evaluation round (starting in October 2009)