Liechtenstein banking center: Resilient and resilient
The US rating agency Standard & Poor’s has subjected the Liechtenstein banking sector to a risk assessment.
In the new BICRA (Banking Industry Country Risk Assessment), Standard & Poor’s (S&P) concludes that the economic risk for the Liechtenstein banking sector is relatively low in a global comparison.
Again Liechtenstein Bankers Association writes, the domestic banking sector thus continues to belong to BICRA Group 2, together with Switzerland, Singapore, Hong Kong and Luxembourg. The renewed confirmation of the low risk and the group classification underline the resilience and stability of the banking center.
combating money laundering
As can be seen from the announcement, S&P continues to classify the economic development in Liechtenstein as stable. The rating agency assumes that the domestic banks will prove to be robust in the face of economic uncertainties (global supply disruptions and increased commodity prices). That would also change for the domestic, export-oriented economy.
The S&P report highlights the significant progress made in implementing anti-money laundering and anti-tax evasion regulations. The principality has developed into a transparent financial center over the past ten years. In the fight against money laundering and terrorist financing, Liechtenstein only recently received very good marks from Moneyval, the expert body of the Council of Europe finews.ch reported.
Long-term wealth planning
The banks rated by S&P have strong or above-average risk-adjusted capital ratios, the banking association continues. This shows that they are targeting strong capitalization above near-term shareholder returns. This should ensure a high level of confidence in the domestic banking sector and is an important aspect for customers and their long-term wealth planning.