OECD: Report on automatic information exchange (AEIO) practices

21/12/2022

In early November, the OECD published a report on the 99 jurisdictions that engaged in automatic information exchange (AEIO) in 2017 and 2018.

As a reminder, in 2022, 110 jurisdictions exchanged information on 111 million financial accounts.

The report analyses the implementation of automatic information exchange (AEIO) practices on different criteria:

The national legal framework: whether jurisdictions have a legislative framework requiring financial institutions to implement due diligence and reporting procedures,
The international legal framework: whether jurisdictions exchange with all appropriate partners,
Effectiveness in practice: at national level (whether jurisdictions ensure that, in practice, financial institutions properly implement due diligence and reporting procedures) and international level (whether jurisdictions effectively exchange information in a timely manner, sorting, preparing and validating it).

Comments and recommendations can be made in some cases.

According to this report, in the vast majority of cases, jurisdictions have put in place the necessary legal framework for information exchange, or are actively in the process of doing so. Indeed, only 19 jurisdictions still have an inadequate framework.
Effectiveness in practice is broadly on track.

It should also be noted that the OECD has updated the rating of 7 jurisdictions:

Barbados, Iceland, Morocco, Slovenia, South Africa and Turkey have received a satisfactory rating of "largely compliant",
And the British Virgin Islands was rated as "partially compliant".

A further 10 jurisdictions are expected to start participating in automatic information exchange in the coming years.

For more information, please contact your local office.