Guatemala Congress Approves Tougher Anti-Money Laundering Law

Guatemala's Congress overwhelmingly approved a new anti-money laundering law Tuesday, a move President Bernardo Arévalo de León hailed as a blow against organized crime. The legislation, passed with 150 out of 160 deputies voting in favor, aims to enhance transparency and criminal penalties for managing illicit funds. It aligns with standards set by the Financial Action Task Force (GAFI), an international body combating money laundering. "The law was passed as GAFI wanted it," said Congress President Luis Contreras Colindres. The new regulations strengthen criminal precautionary measures and asset seizures related to money laundering. They also impose greater legal obligations on lawyers, auditors, and high-risk financial entities to ensure transaction transparency. Arévalo stated the law "means hitting crime where it hurts most: its finances." He added, "Today Guatemala wins, and those who seek to enrich themselves through drug trafficking, corruption, and organized crime lose." Official deputy Andrea Reyes noted the law modernizes the country's financial and criminal systems against money laundering, which she described as "the oxygen of criminals." The U.S. Embassy in Guatemala had previously urged Congress to pass a law meeting GAFI standards, stating it would help close doors to traffickers and criminals endangering both Guatemalan and U.S. communities.

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The law was passed as GAFI wanted it.