(Graph 7 – Synchronised Nordic monetary cycles). While Danmarks Nationalbank meets its objective of ensuring stable prices in Denmark via the fixed exchange rate policy, many other central banks use interest rates to target inflation directly. Although the Nordic countries have implemented different monetary policy regimes, economic implications are in reality quite similar.
It also involves an assessment of the effectiveness of a country’s AML/CFT systems with a view to ascertaining whether the country’s “financial systems and the broader economy are protected from the threats of money laundering and the financing of terrorism, thereby strengthening financial sector integrity and contributing to safety and security.” I must say that even before the publication of the Mauritius MER in September 2018, Mauritius had already started bringing legislative amendments to various pieces of legislation—including the Financial Intelligence and Anti-Money Laundering Act and the Banking Laws—to address the deficiencies.