The financial and banking system in Andorra is one of the main pillars of the Andorran economy and accounts for about 16% of its GDP.

The seriousness of the Andorran banking sector, in terms of supervision and strict verification of the origin and destination of funds, is recognized by organizations such as the International Monetary Fund (IMF) and the Council of Europe. The report the IMF has done in 2007 on Andorra states that: “the supervision of the financial sector, with concentration on the banking sector, is adequately solid.“

The Andorran financial system is characterized by its high solvency and liquidity ratios (22.02% and 75,70%, respectively). This is the result of a conservative and prudent management, which has enabled it to withstand the recent international financial crisis and receive excellent results compared to other countries.

The Andorran banking sector, with an experience of over 80 years, is represented by five banks, four of them with an Andorran capital and one of them with international participation.

The Andorran Financial Authority (AFA) is the organization that oversees and monitors the Andorran financial institutions system.
The Financial Intelligence Unit of Andorra (UIFAND) is the independent organization whose mission is to develop and coordinate the prevention of money laundering.