A Turning Point for International Finance

Gibraltar has officially been removed from the European Commission’s list of high-risk third-country jurisdictions with strategic deficiencies in anti-money laundering and counter-terrorism financing (AML/CFT) regimes. This change is not just a policy update, it marks a major turning point in how Gibraltar is viewed globally and opens new possibilities for businesses, investors, and financial institutions operating here or considering it as part of their international plans.

At Abacus, we welcome this news with pride but not surprise. We work at the centre of Gibraltar’s financial services sector, helping clients navigate complex cross-border structures while maintaining the highest compliance standards. This latest recognition simply confirms what we and our clients already know: Gibraltar is a responsible, innovative, and well-regulated international finance centre.

Why Was Gibraltar on the List and What’s Changed?

The European Commission’s list of high-risk third countries identifies jurisdictions that pose significant threats to the EU's financial system due to weaknesses in their AML/CFT regimes. Gibraltar’s inclusion in 2022 was based on findings by the Financial Action Task Force (FATF), which pointed to the need for stronger enforcement and supervision in areas like gaming and virtual assets.

Since then, Gibraltar has worked consistently and transparently to address these concerns. In June 2024, FATF removed Gibraltar from its own grey list, having recognised the significant progress made. Now, the European Commission has followed suit, acknowledging that Gibraltar has successfully strengthened its systems, increased oversight, and implemented meaningful reforms to ensure effective monitoring and enforcement.

As a firm rooted in Gibraltar, Abacus has had a front-row seat to this transformation. The reforms haven’t just improved frameworks on paper, they’ve changed how the jurisdiction operates in practice. Regulators are more proactive, supervision has become more collaborative, and there’s a shared sense of responsibility across the financial community to uphold international standards.

Real-World Impacts for Clients and Institutions

This decision has immediate and practical advantages. Being on the EU’s high-risk list meant that businesses with connections to Gibraltar often faced enhanced due diligence (EDD) procedures. These added layers of compliance made processes like opening bank accounts, onboarding with service providers, and engaging with EU-based counterparties more time-consuming and administratively heavy.

With Gibraltar now removed from the list, these restrictions are eliminated. For our clients at Abacus, this change makes it easier and faster to structure cross-border wealth and corporate vehicles through Gibraltar. Whether you're a family office looking to establish a trust, a fund manager considering a new launch, or a business owner relocating your company, the process is now much smoother.

More importantly, Gibraltar’s regulatory reputation has now caught up with its reality. This shift allows us to work more efficiently with clients and counterparties across the EU, reducing delays while still meeting all necessary compliance standards.

A Stronger Global Positioning for Gibraltar

The European Commission’s decision sends a strong and positive message to investors and advisors around the world, Gibraltar is no longer seen as a high-risk location. Instead, it’s recognised as a safe, reliable, and well-regulated place to do business.

At Abacus, we believe this recognition will lead to growing interest in Gibraltar as a hub for international wealth structuring. It strengthens the jurisdiction’s reputation in important areas like private wealth management, fund services, fintech, and corporate structuring. As global regulations become more complex, more people are looking for jurisdictions that are both flexible and well-governed. Gibraltar fits that need perfectly.

Gibraltar is built on English common law and benefits from a responsive and professional regulator. This gives our clients confidence and clarity when creating long-term financial or corporate plans. We’ve supported clients through decades of change, and this latest development only reinforces the value of choosing Gibraltar.

Why Now Is the Time to Reconsider Gibraltar?

The timing of this change is important to consider. In a world where regulatory landscapes are becoming more complex, as mentioned before, jurisdictions that strike the right balance between flexibility and oversight are rare and valuable. Gibraltar is one of them.

We expect to see a renewed wave of interest in Gibraltar in the coming months, especially from clients and intermediaries who may have previously hesitated due to the high-risk designation. This is a chance to revisit Gibraltar’s offer with fresh eyes and a new level of confidence.

At Abacus, we’re ready to support that momentum. With over 5045 years of experience, we’ve helped clients navigate both growth and uncertainty. Today, we’re proud to help them make the most of a jurisdiction that has proven itself on an international level.

Gibraltar’s Reputation Reinforced

Being removed from the EU’s high-risk list is more than a symbolic achievement, it’s a reflection of real change. For clients and partners of Abacus, it means fewer regulatory restrictions, more streamlined structuring options, and an even stronger foundation for doing business in and through Gibraltar.

This update marks an exciting new chapter for Gibraltar and for the clients we work with every day. Gibraltar now offers an even stronger platform for growth, and Abacus is here to guide you through it.

To find out how this change could benefit your business or financial planning, visit us at www.abacus.gi or get in touch with our team.

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