The last Mutual Evaluation Report relating to the implementation of anti-money laundering and counter-terrorist financing standards in Sri Lanka was a follow-up to the APG evaluation that took place in 2021. According to the Evaluation, Sri Lanka was deemed Compliant for 7 and Largely Compliant for 25 of the FATF 40 Recommendations. It remains Highly effective for 0 and Substantially Effective for 1 of the Effectiveness & Technical Compliance ratings.
Since then, Sri Lanka has remained in enhanced follow-up, and continues to report back to the APG on progress to strengthen its implementation of AML/CFT measures.
The country requested technical assistance from the EU Global Facility to improve its AML/CFT compliance. An inaugural activity on “Turning Financial Intelligence into Evidence” was organised online in May 2025. It will be followed by a scoping mission to Colombo in August 2025, which will serve to tailor future engagement with the country based on their specific needs.
This project is funded by the European Union.