Latvia
transshipment and destination point for cocaine, synthetic
drugs, opiates, and cannabis from Southwest Asia, Western Europe,
Latin America, and neighboring Balkan countries; despite improved
legislation, vulnerable to money laundering due to nascent
enforcement capabilities and comparatively weak regulation of
offshore companies and the gaming industry; CIS organized crime
(including counterfeiting, corruption, extortion, stolen cars, and
prostitution) accounts for most laundered proceeds
Lebanon
cannabis cultivation dramatically reduced to 2,500 hectares
in 2002 despite continued significant cannabis consumption; opium
poppy cultivation minimal; small amounts of Latin American cocaine
and Southwest Asian heroin transit country on way to European
markets and for Middle Eastern consumption; money laundering of drug
proceeds fuels concern that extremists are benefiting from drug
trafficking
Liberia
transshipment point for Southeast and Southwest Asian heroin
and South American cocaine for the European and US markets;
corruption, criminal activity, arms-dealing, and diamond trade
provide significant potential for money laundering, but the lack of
well-developed financial system limits the country's utility as a
major money-laundering center
Liechtenstein
has strengthened money laundering controls, but money
laundering remains a concern due to Liechtenstein's sophisticated
offshore financial services sector
Lithuania
transshipment and destination point for cannabis, cocaine,
ecstasy, and opiates from Southwest Asia, Latin America, Western
Europe, and neighboring Baltic countries; growing production of
high-quality amphetamines, but limited production of cannabis,
methamphetamines; susceptible to money laundering despite changes to
banking legislation
Macau
transshipment point for drugs going into mainland China;
consumer of opiates and amphetamines
Macedonia
major transshipment point for Southwest Asian heroin and
hashish; minor transit point for South American cocaine destined for
Europe; although not a financial center and most criminal activity
is thought to be domestic, money laundering is a problem due to a
mostly cash-based economy and weak enforcement
Madagascar
illicit producer of cannabis (cultivated and wild
varieties) used mostly for domestic consumption; transshipment point
for heroin
Malaysia
drug trafficking prosecuted vigorously and carries severe
penalties; heroin still primary drug of abuse, but synthetic drug
demand remains strong; continued ecstasy and methamphetamine
producer for domestic users and, to a lesser extent, the regional
drug market
Malta
minor transshipment point for hashish from North Africa to
Western Europe