People

Human trafficking remains a serious concern in Saudi Arabia. Various forms of exploitation, including forced labour, sex trafficking and forced begging, are observed in the country. Saudi Arabia relies heavily on foreign workers, mainly from Asian and African countries, who make up a significant portion of the labour force, leaving them susceptible to exploitation and trafficking. While many migrants enter the country for employment opportunities, the controversial Kafala system, which ties their status to their employers, makes them vulnerable to becoming victims of human trafficking, particularly in the domestic servitude and labour sectors. Female domestic workers are at risk as their isolated work within private homes exposes them to potential abuse by their employers. Women and children are particularly vulnerable to coercion and can be drawn into organized begging rings.

A recent trend is the trafficking of vulnerable Vietnamese women and girls into Saudi Arabia for exploitation purposes. Certain regions within Saudi Arabia, such as the northern border with Jordan and the southern border with Yemen, serve as major hubs for human trafficking. There have been reports of the trafficking of child soldiers for the purpose of fighting on Saudi Arabia's side in the war in Yemen. Traffickers take advantage of the unstable situation and power vacuum resulting from the ongoing conflicts in those areas. The issue of human trafficking has been further complicated by the emergence of social media platforms, where sex trafficking openly occurs with little to no oversight.

Saudi Arabia is a destination market for significant numbers of irregular migrants travelling from the Horn of Africa through Yemen. Monitoring this flow is difficult due to the ongoing instability in the region, resulting in constantly changing routes. Recent years have seen an increase in the influx of migrants through this route, despite intensified border controls imposed by Saudi Arabia. The majority of these smuggling routes pass through Saudi Arabia's mountainous roads, with a high number of children smuggled along the eastern corridor route. Migrants travelling through this route towards Saudi Arabia are vulnerable to becoming victims of human trafficking. Kidnapping and torture-for-ransom have become prevalent along major smuggling routes in this area, while threats of deportation by Yemeni and Saudi authorities add to the migrants' plight. There is no sizeable criminal market for extortion and protection racketeering in the country, which is limited to sporadic and anecdotal reports.

Trade

Saudi Arabia’s arms trafficking market is pervasive. The country holds a significant position in the rapidly expanding arms market across the wider region, and reports indicate that the Saudi government has violated the UN arms embargo by supplying weapons from Western countries to non-state armed groups in conflict zones, including Yemen and Syria. The country's substantial arsenal creates opportunities for illicit arms trafficking, with the black market for unlicensed weapons witnessing growth within Saudi Arabia. This underground trade is often facilitated through social media sites. Moreover, corruption within the Saudi military contributes to the domestic arms market, leading to many of these weapons falling into the hands of violent extremist groups. Notably, Houthi rebels have employed drones and missiles to target critical infrastructure in Saudi Arabia. Concerns have also emerged in recent times regarding the presence of armed youth groups in the streets.

Saudi Arabia faces challenges in curbing the illicit trade of counterfeit goods, and millions of resulting fake items are seized by Saudi customs annually. These products encompass various items, including shoes, clothes, mobile accessories, sanitary products, and car filters. Notably, the country serves as a destination for counterfeit perfumery and cosmetics that predominantly originate from China. Saudi Arabia also has a moderately-sized market for the illicit trade in excisable goods, with the underground tobacco industry of particular concern. The illicit trade in tobacco products accounts for nearly a quarter of the total market in the country. Moreover, due to the prohibition of alcohol, a thriving market for the illicit smuggling of alcoholic beverages exists in the country.

Environment

Saudi Arabia is grappling with various environmental crimes. While information regarding flora crimes in Saudi Arabia is limited, concerns exist regarding the smuggling of agarwood, which holds significant market value, particularly in its raw form, although the extent of the trade remains unknown. As for fauna crimes, Saudi Arabia faces severe challenges in dealing with the illicit trade of exhibition wildlife, particularly mammals used as pets or for private zoos. The acquisition of firearms and vehicles by criminal groups has resulted in more effective hunting methods over the past decades, making the country a prominent player in both exporting and importing exhibition wildlife. In the case of the latter, the illegal smuggling of cheetahs from Africa has been a major concern, with a substantial number of cheetahs smuggled out of the continent in the past decade for Saudi Arabian buyers. This illicit trade is believed to involve influential individuals who are motivated by the animals' perceived status and symbolism of wealth. The trafficking of falcons also poses a significant concern in Saudi Arabia due to the high demand for such birds, resulting in exorbitant prices on the black market.

The country's subsidized fuel prices have led to price discrepancies with neighbouring states, providing an opportunity for criminals to exploit the price difference by selling fuel abroad at significantly inflated prices. Criminal networks take advantage of the country’s porous borders, particularly in conflict zones, to smuggle gasoline, kerosene, and diesel. To evade detection, smugglers often utilize animals such as donkeys, mules, and camels to transport fuel and other contraband through rugged mountainous terrains, providing a cover for their illegal operations. Apart from oil smuggling, gold smuggling is also an issue in Saudi Arabia. Various incidents of gold smuggling have been reported, including the arrest of individuals attempting to ship gold abroad, using the country’s airports. Some instances involve gold being smuggled out of the country to destinations like India and Bangladesh, while Saudi Arabia itself serves as a recipient of gold that is either illegally mined or smuggled from other countries.

Drugs

Saudi Arabia predominantly serves as a destination country for synthetic drugs, cannabis resin, and heroin. These substances enter the country through land routes from neighbouring countries, as well as through the ports and airports in Jeddah and Dammam. Although the heroin market in Saudi Arabia is smaller than other drug markets, a sizeable heroin trade exists within the country, particularly favoured by Saudi adolescents. The market for cocaine in Saudi Arabia remains comparably limited, but there has been a slight increase in seizures in recent years. The country's international airports frequently apprehend individuals involved in cocaine trafficking, including both Saudi nationals and foreign individuals.

Among the drugs consumed in the country, cannabis resin is the most commonly used substance, while marijuana is not typically used. Younger generations are particularly drawn to cannabis resin due to its potency and relatively low cost. Cannabis trafficking routes often intersect with tribal populations and are connected to pilgrimage and migration patterns. Additionally, khat, a stimulant shrub grown in the Arabian Peninsula and Horn of Africa, has a significant market in Saudi Arabia. Khat is one of the most seized drugs, especially along the country's border areas. The port of Jazan has been identified as a vulnerable hotspot for the smuggling of large quantities of khat into the country.

Captagon, a synthetic drug primarily imported from Syria and Lebanon, has gained significant popularity in Saudi Arabia, making the country the largest consumer market for this drug worldwide. Notably, the Port of Jeddah and King Abdulaziz International Port in Dammam have become crucial hubs for Captagon seizures. Despite its relatively high price compared to other drugs, methamphetamine trafficking has been increasing in Saudi Arabia.

Cyber Crimes

Cyber-dependent crime poses a considerable threat in Saudi Arabia. The country ranks among the top three most targeted nations in Western Asia and Africa when it comes to ransomware attacks, which have seen a substantial rise in recent years. Several instances of ransomware attacks on businesses have resulted in major disruptions to operations and substantial financial losses. Apart from ransomware, Saudi Arabia also ranks among the top three countries in Western Asia and Africa affected by malware, particularly adware.

Financial Crimes

Saudi Arabia faces a severe risk of financial crimes, including the growing threat of online fraud. Perpetrators exploit fraudulent websites that mimic official government platforms, attracting a large number of daily visitors and leading to an increase in financial fraud incidents. In some cases, perpetrators pose as employees of governmental agencies to deceive their victims. These scams have a significant impact on Saudi citizens, although foreign nationals are also targeted. Financial crimes in Saudi Arabia involve government and institutional officials, both current and former, who have been implicated in various offences such as fraud, forgery, and embezzlement of public funds. A particular concern is the misappropriation of substantial amounts of oil revenue, resulting in significant annual losses in public funds.

Criminal Actors

Criminal actors in Saudi Arabia encompass various entities, including criminal networks, state-embedded actors, and the private sector. State-embedded actors are reported to have a sustained key role in a number of Saudi Arabia’s criminal markets. Notably, there are persistent allegations against the royal family. Corruption is pervasive at all levels of society, with reports of state officials engaging in drug trafficking. Petty corruption is also prevalent, as evidenced by the frequent arrest of soldiers accepting bribes to smuggle contraband into prisons. State-embedded actors often collaborate with criminals in the private sector, and their activities frequently intersect.

As the country emerges as a prominent financial centre, it assumes a significant role in global remittances, in turn raising concerns about illicit financial flows exiting the country. Reports highlight instances of bulk cash smuggling and exploitative money transfers facilitated by individual religious donors and Saudi-based charities, reportedly including profits from the drug trade. Decentralized criminal networks operate in various criminal markets, including human smuggling and trafficking, as well as drug trafficking. In the human trafficking criminal market, these networks are spread across Saudi Arabia, although they are particularly concentrated at the borders, the coastline and within cities, where demand for (forced) labour is high. These networks are also known to cooperate with their transnational counterparts, especially those in various source countries for human trafficking, especially neighbouring Yemen, as well as countries in East and West Africa, and Asia.

Foreign criminal groups also pose a significant threat to the Saudi government, with the Houthi group having emerged as the primary foreign entity operating within Saudi territory, especially along the Saudi-Yemeni border. Saudi Arabia has also endured attacks on its oil facilities and other critical infrastructure, with suspicions pointing to facilitation by Iranian or Iranian-backed actors. Although there are no traditional mafia groups with a sustained presence in Saudi Arabia, organizations with political goals and mafia-like structures engage in organized criminal activity to finance their activities.

Leadership and governance

Saudi Arabia is an absolute monarchy where ultimate authority rests with the ruling family. Although the country takes a firm stance against organized crime, there are instances where certain crimes receive varying degrees of support from the state. Under the current leadership, the government has implemented measures to combat the illicit drug market; however, overall it downplays the existence of organized crime and prioritizes highlighting the stability of the country's security situation. Consequently, issues such as human trafficking receive limited attention in Saudi Arabian political discourse, while the country’s involvement in conflicts such as those in Yemen and Syria has contributed to an increase in arms trafficking.

While the country presents itself as relatively effective in combating corruption compared to others in the region, there are few mechanisms in place to address corruption among the highest levels of the political elite. The ongoing anti-corruption crackdown seems primarily driven by political motivations rather than a genuine commitment to tackling corruption. Corruption remains widespread, and efforts to combat it are selectively pursued for political reasons. Abuse of power, nepotism, and the use of intermediaries, known as ‘wasta’, in conducting business continue to be prevalent practices. The ruling family retains significant control over oil funds, lacking transparency and accountability. Nonetheless, significant arrests have been made in recent years by the government's oversight and anti-corruption agency, targeting individuals involved in bribery, embezzlement of public funds and other corrupt practices.

Saudi Arabia has consistently demonstrated a firm stance against organized crime by actively participating in international cooperation frameworks. The country has signed important treaties such as the United Nations Convention on Transnational Organized Crime, the Palermo protocols, and several other relevant agreements. As a member of the Arab League, Saudi Arabia engages in regional cooperation on issues like drug trafficking, human trafficking and maritime piracy. However, Saudi Arabia has notably abstained from the Arms Trade Treaty. Furthermore, the government has the authority to veto decisions within the Gulf Cooperation Council, exercising this power when decisions are not aligned with its national interests. Saudi Arabia also engages in bilateral relations with several states, including the establishment of labour recruitment agreements with various Asian and African countries.

On the domestic front, Saudi Arabia has established comprehensive legal frameworks to address major criminal markets. However, these frameworks often prove inadequate in practice. While Saudi authorities have announced reforms to the Kafala sponsorship system, there have been widespread criticisms that these efforts remain insufficient and do not adequately address the issue of abuse. The possession and trafficking of weapons and the protection of wildlife are also areas of concern.

Criminal justice and security

Saudi Arabia's judicial system, which is overseen by the supreme judicial council, has very little autonomy. Judges have near-complete discretion in interpreting Sharia law and are generally not required to provide further details regarding their rulings. Since the beginning of 2020, Saudi Arabia has established specialized criminal courts to handle all cases of human trafficking, although since then there has been an overall decline in the number of traffickers prosecuted and convicted. Transparency regarding the imposed penalties and sentencing details has also been lacking. The penitentiary system in Saudi Arabia is known for its secretive nature, making it difficult to obtain information about the conditions inside prison facilities. However, numerous reports indicate severe abuses, including torture, inadequate medical care, overcrowding beyond capacity and mistreatment of both male and female prisoners. These abuses encompass practices such as solitary confinement and lack of proper medical attention; there have been instances where prisoners have lost their lives. While independent organizations are no longer permitted to inspect prisons, credible reports continue to emerge indicating the ongoing mistreatment of detainees. Recent efforts to reform the justice system in Saudi Arabia include the implementation of written penal codes for discretionary crimes, aiming to enhance the integrity and efficiency of judicial institutions, although specific details and their adherence to international standards are yet to be clarified.

There are specialized organized crime units established within law enforcement including a narcotics unit as well as a newly created independent unit focusing on financial crimes. Despite being considered effective, there are recurring allegations of physical abuse and arbitrary arrests carried out by police officers.

Saudi Arabia's borders are under constant pressure, exacerbated by the challenging sandy terrain which makes policing difficult. Trafficking routes into Saudi Arabia are often established by people from tribal areas or intertwined with migration and pilgrimage. While the Saudi government has long extended its public service provision even to remote villages, this has been somewhat disrupted by instability and conflict erupting in the border areas with Yemen. Specifically, the war in the south with Yemeni Houthis has reportedly enabled the construction of irregular routes leading to the country, as well as facilitating the smuggling of large volumes of arms and drugs. Saudi Arabia has taken measures to enhance security at its borders, including utilizing INTERPOL's global databases for instant checks of people, documents, and vehicles. In recent years, the country has also made increased efforts to protect critical infrastructure in cyberspace through the implementation of a comprehensive strategy at both domestic and international levels.

Economic and financial environment

Money laundering and terrorist financing are systemic vulnerabilities of Saudi Arabia, although public statistics on the extent of the issue are not readily available. In recent years, the country has established dedicated units to address the issue. Money laundering is regarded as a significant offence in Saudi Arabia, with severe penalties imposed on individuals engaged in legitimizing or concealing the origin of illicit funds. Such penalties include fines of up to US$1.5 million, imprisonment for a maximum of 15 years, and travel bans for Saudi nationals.

Saudi Arabia has a strong economy overall, and the country's business environment is somewhat conducive to a dynamic private sector. However, its dependence on oil makes it vulnerable to fluctuations in oil prices. The crown prince's 'Vision 2030' strategy seeks to diversify the country's economy and has led to a record number of economic reforms that have improved the business climate in the country. Yet despite these efforts, the global oil price drop and pandemic-related emergency measures have had a negative impact on the Saudi economy and depleted its foreign exchange reserves.

Civil society and social protection

Saudi Arabia is making progress in enhancing victim support services through the establishment of shelters and welfare centers. These facilities are specifically designed to assist individuals affected by sexual exploitation, labour exploitation and child begging, providing aid including accommodation, social services, healthcare, psychological counselling, education and legal support. Despite these efforts, concerns persist about Saudi Arabia’s limited effectiveness in identifying and referring victims, particularly among vulnerable populations. Routine screening for potential trafficking victimization is lacking, which can result in the inadvertent arrest and deportation of unidentified victims, especially undocumented migrant workers targeted by the police. Although law enforcement agencies receive training on recognizing trafficking indicators, there is still the practice of penalizing victims for engaging in coerced unlawful acts, including victims of sexual exploitation.

Additionally, concerns have been raised regarding the difficulties victims face in coming forward due to Saudi Arabia's legal system, which is rooted in Sharia law. Notably, drug offences are often met with capital punishment, and in the past, victims of sex trafficking have been punished for engaging in sex work. The government has also attempted to take a preventive approach to human trafficking by deploying labour inspectors who are specialized in human trafficking. It also provides awareness raising programmes for drug use. However, the positive effects of these efforts are yet to be observed.

Challenges persist regarding civil society organizations (CSOs) and independent media in Saudi Arabia. Most CSOs are affiliated with the government, while independent CSOs face restrictions that can lead to their banning or loss of operational rights for violating certain criteria. Independent media is virtually non-existent, and journalists encounter repressive measures, including self-censorship and the risk of prosecution for criticizing government policies. Saudi Arabia has faced widespread accusations of using spyware to control and repress activists and journalists.

People

Human trafficking in Canada continues to grow, albeit moderately, with the country's sex trafficking market remaining active. The majority of cases involving Canada consists of internal trafficking. Indigenous women and girls are particularly vulnerable to commercial sexual exploitation, but their cases often go uninvestigated, and disappearances are attributed to this crime. While recent data indicates that this group is not overrepresented among all human trafficking victims and survivors in the country, they may be targeted with specific forms of gender and sex-based violence. There has also been an increase in overall online victimization of youth. Transnational human trafficking, on the other hand, comes primarily in the form of forced labour. Foreign workers, primarily women of Filipino origin in the caregiving and agricultural sectors, are at high risk of exploitation and abuse due to language barriers, isolated worksites, and limited access to protections.

Human smuggling in Canada is primarily limited to facilitating irregular migration, with the country serving as a transit point for workers and asylum seekers attempting to reach the US. However, a recent surge in asylum applications and a rise in deaths and rescues along the Canadian border suggest that more people are attempting to reach Canada as their final destination country rather than merely using it as a transit point. Many travel on their own with visas obtained fraudulently, often from Asia, while others rely on smugglers. Some indigenous/Native American communities are reportedly involved in smuggling people from the US into Canada using reservation land. Smugglers in Canada primarily operate along the southeastern border, either as independent and opportunistic smugglers or through more organized smuggling networks. Regarding extortion and protection racketeering, these criminal practices continue to be carried out by mafia-style groups in the country, albeit to a limited extent.

Trade

In recent years, Canada has witnessed an increase in national and transnational arms trafficking and firearm-related homicides, despite its relatively small illegal arms market. Most illegal arms in Canada are smuggled in from the US, with handguns being the most commonly seized. Organized crime groups are significant players in the smuggling and sale of firearms, often through illegal means. While measures have been taken to address the issue, the low probability of interdiction at the US-Canada border and the high profit margins of illegal guns in Canada compared to the US make it difficult to eliminate this crime. Additionally, there have been reports of the use of 3D printers to produce parts and components of guns to avoid regulations and law enforcement.

In recent years, customs authorities in Canada have detained a growing number of shipments and containers of counterfeit merchandise intended for global distribution. Although the market in the country remains fairly moderate in size, Canada has been flagged as a country of concern for counterfeits due to its failure to provide adequate protection or enforcement of intellectual property rights, as well as its high levels of online piracy. Sophisticated Chinese criminal networks based in Toronto and Asia are among the major global players in the counterfeiting industry. Similarly, also the illicit trade of excise goods, particularly tobacco, poses a challenge in Canada. The issue is moderately widespread, with weak policy responses to counter it. Most illicit tobacco trade occurs in central Canada, with certain Indigenous communities reported to be involved in this activity. The problem is most prominent in Ontario and Quebec, where estimates of the size of the illicit tobacco market vary widely. Tobacco smuggling and related excise offences are often intertwined with unregulated cigarette-manufacturing plants and retail outlets established on First Nations territories.

Environment

There is currently no indication of a substantial illicit logging and timber trade market in Canada. Canadian officials have been effective in regulating the timber supply chain and monitoring the country's ports of entry and exit. Furthermore, there is a strong preference for legal timber in Canada, which is reflected in legislation, policies, and consumer choices. However, there have been reports of an illicit market in the US for orchids originating from Canada. With regard to the wildlife trafficking, the country plays a role as source, transit, and destination. Species such as polar bears, turtles, narwhals, and walrus tusks are commonly trafficked. Although polar bear trading and narwhal hunting among Inuit populations are legal in Canada, these activities put these species at risk. Bear gallbladders are trafficked out of Canada to some Asian countries where local communities believe in their healing powers. It is worth noting that Canada allows for the domestic trade of ivory obtained from elephants killed prior to 1990, which gives opportunities for criminals to disguise new ivory into the legal market.

The extractive industries, including the diamond market in Canada, have maintained their conflict-free reputation, with no marked changes in recent years. Artisanal mining is also reportedly free of criminal activities. However, Canadian multinational companies have been linked to environmental and human rights violations globally. A lack of accountability within the country has facilitated these abuses for decades. There are also reports of conflict-ridden gold from Venezuela being trafficked to neighbouring countries and then exported to gold refiners in Canada through false paperwork.

Drugs

Although domestic demand of heroin is limited in the country (prescription drugs constitute the main opioid abuse), a high number of heroin-related emergency-room visits is still reported. While most of the opioid supply in the Americas comes from Mexico, Colombia, and Guatemala, the Canadian market continues to source most of its heroin from the Golden Crescent in South-West Asia. Asian criminal networks, mainly Chinese, are the largest importers and traffickers of heroin on Canada's western coast. In contrast, the Canadian cocaine market is relatively small, with low prices and limited demand, but recent seizures indicate potential growth. Most cocaine in Canada is imported from Latin American countries through Caribbean and US transit points, with Mexican cartels becoming more involved in smuggling and trafficking. The market is controlled by various organized criminal groups, including motorcycle gangs. Canada is also identified as a transit country for cocaine destined for other countries such as Australia, Japan, and New Zealand.

Canada legalized the use of recreational and medical marijuana, which led to the government running cannabis suppliers, and private companies joining the business. However, as the domestic demand was underestimated, it led to the persistence of illegal production and sale of cannabis. Reports suggest that legal cannabis is more expensive and lower in quality than illicit cannabis, giving users more incentives to buy from the black market. Nevertheless, the illicit cannabis trade in Canada has minimal links with organized crime.

The country faces the pervasive issue of illicit synthetic drug production and trafficking, with synthetic opioids and methamphetamine being the main drugs of focus. The production of these drugs, particularly in the greater Vancouver area, involves Asian criminal networks and outlawed motorcycle gangs. It is believed that production of street opioids is moving intentionally toward Carfentanil and away from Fentanyl. While Canada remains a source country for ecstasy and crystal meth, the country has implemented measures to counter the manufacturing and trafficking of synthetic opioids, including requiring registration for the import of designated devices capable of producing controlled substances.

Cyber Crimes

Cybercrime is on the rise in Canada, and many incidents go unreported. In recent years, the country has suffered a high number of ransomware attacks and payouts, costing millions of dollars per data breach. Furthermore, cybercriminals are increasingly using Canadian internet service providers to host malicious sites and carry out cyberattacks. In addition to public authorities such as law enforcement agencies, small businesses in Canada have also experienced a high number of cyber incidents. Moreover, Canada faces significant strategic cyber threats from state-sponsored cyber programmes in countries such as China, Russia, Iran, and North Korea. Cryptocurrencies are also becoming more popular among cybercriminals as they help conceal identities and avoid tracking by law enforcement agencies. Ransomware as a Service (RaaS) business models have also increased, with developers selling or leasing ransomware to other cybercriminals.

Financial Crimes

Financial crimes in Canada are a growing concern, with losses attributed to scams and fraud reaching hundreds of millions of Canadian dollars annually. The most frequently reported types of fraud and scams include phishing, merchandise scams, service scams, and vendor fraud. Among these, spear-fishing is especially prevalent and poses a formidable threat to businesses and organizations. Identity fraud and tax noncompliance are also serious issues. The problem is exacerbated by Canada's weak corporate transparency regulations, which make it easy to register shell companies and obscure the true identity of individuals involved in financial crimes. As a result, these criminal activities are difficult to detect and prosecute.

Criminal Actors

Outlaw motorcycle gangs are the most prevalent mafia-style groups in Canada, with a strong presence in Ontario and Quebec. These groups engage in a range of criminal activities, including extortion, drug trafficking, smuggling of weapons and cigarettes, and loan sharking. Nova Scotia is of particular interest to these gangs due to its significant port of entry for smuggled illegal drugs, and different groups have had clashes in the province. Loose-knit criminal networks spanning the country are also involved in various profitable criminal activities, including drug trafficking, contraband cigarettes, gambling, counterfeiting, fraud, smuggling, and human trafficking. Professional money laundering networks are particularly active in Canada and are relied on by most mafia-style groups to launder the proceeds of their crimes.

Foreign criminal actors, particularly Italian and Asian mafias, continue to have a big presence in Canada. Members of these gangs have strong relations with the business community in Quebec and control economic activities such as fraudulent transfer of values and usury. They are also involved in drug distribution and trafficking, money laundering, and loan sharking and have a history of violence and murder. Asian mafias active in the country are also known to import Fentanyl and precursors from China. Regarding private sector actors, the accommodations and food services, retail trade, transportation and warehousing, construction, and other services sectors have the highest number of businesses linked to organized crime in Canada. Money service businesses, in particular, facilitate international money laundering operations and are often integral parts of broader criminal groups or internationally networked criminal entities. The cash-based nature of most transactions in this industry makes it attractive to criminals, particularly those associated with mafia-style groups. It is worth noting that there is currently no evidence of widespread corruption and infiltration of organized crime into politics or state institutions in Canada. However, cases of bribery of government officials, especially at the local level, as well as accusations of diverting public funds, are increasingly reported in the country.

Leadership and governance

Canada has a well-established governance and institutional system, with a strong stance against crime, including a national strategy, law enforcement units, justice frameworks, and social services. However, there is no comprehensive national strategy in place to address organized crime, and funding shortages for enforcement pose a challenge, particularly in aboriginal territories and among marginalized youth. Although Canada is considered to be one of the least corrupt countries in the world, deficiencies in legal frameworks for accessing information have been identified, and criticism has emerged regarding the lack of transparency in the beneficial ownership of corporations and trusts. This has made Canada a desirable country for incorporating shell companies that can facilitate illicit activities.

Canada is actively participating in international efforts to combat organized crime, including signing international agreements and adapting its laws to meet international standards. It has bilateral partnerships with the US and China to address issues such as drug smuggling and trafficking. Canada has the legal authority to obtain court orders on behalf of countries that are parties to mutual legal assistance agreements, and it has laws to freeze assets to restrain the property of foreign state leaders and officials. However, human rights experts have called for an overhaul of national laws related to extradition to ensure fairness and constitutional protections. Canada also has a robust legislative framework to combat organized crime through policy development and coordination. However, insufficient funding and resources pose a significant challenge in fully implementing efforts to combat the growing scope of organized crime in Canada.

Criminal justice and security

There have been no recent changes to Canada’s judicial system and detention policies in recent years. Although there are no specialized courts exclusively dedicated to organized crime, the Canadian judiciary appears to be effective, and is considered largely free from corruption. However, the system appears to suffer from a shortage of prosecutorial and judicial resources. There have also been reports of abuse of power by prison guards, and concerns have been raised about the improper use of solitary confinement. Allegations of increasing alliances and violent competition between different gangs in prisons present a growing security challenge for penitentiaries and increasing the likelihood of recidivism. The country has several mechanisms in place to integrate and foster cooperation and information sharing among different law enforcement agencies, which make an extensive use of multi-agency and multi-disciplinary joint forces operations. However, despite the existence of relevant structures and cooperation between law enforcement units, continuing funding shortages for law enforcement at federal and provincial levels result in a failure to address the growing scope and complexity of organized crime. Specifically, the lack of resources for financial crime enforcement has been criticized and partially blamed for the widespread problem of money laundering in Canada, particularly in British Columbia.

Canada has the longest international border in the world with the US. Although cross-border trafficking occurs, the scale of these flows is relatively limited, but only a small percentage of all drugs smuggled into the country are detected and interdicted. In fact, border control agencies have insufficient resources to adequately monitor all of Canada's borders and territories. Following the implementation of the United States-Mexico-Canada Agreement, Canadian customs have been empowered to detain in-transit commercial shipments of suspected counterfeit goods, and officials have seen a significant increase in detentions. However, the Canada Border Services Agency has warned that smugglers and criminal groups may attempt to corrupt border officials.

Economic and financial environment

Canada is considered a medium-risk country for money laundering due to ineffective beneficial ownership transparency systems. Not all professions are covered by anti-money laundering provisions, and professionals such as real estate agents and lawyers are not required to identify beneficial owners during due diligence. Canada lacks a central register for beneficial ownership information, and federal and provincial governments have been accused of weak leadership in financial crime enforcement. This is particularly true in British Columbia, where evidence of widespread money laundering through casinos, real estate, and banks has been found. The police's proceeds of crime enforcement programme have been considerably under-resourced for years, and the Financial Intelligence Unit has been criticized for creating too many obstacles to timely information sharing for law enforcement purposes.

In contrast, Canada has effective measures for governing natural resources, promoting ease of doing business and combating corruption. Criminal and civil legal frameworks are in place to help legitimate businesses operate free from criminal activities. While no sectors in Canada are significantly controlled by organized crime, recent cases indicate that criminal groups have influence in the tow truck industry in Toronto and Montreal. Additionally, companies in the accommodation and entertainment industries have been used to launder money and serve as fronts for organized crime.

Civil society and social protection

Canada has a comprehensive framework in place to provide support to victims of modern slavery, and the country has increased its efforts to protect victims of human trafficking more broadly. While provinces and territories bear primary responsibility for delivering victim services, the federal government has established various guidelines and resources to help front-line officials proactively identify cases of human trafficking. However, service providers have noted that they mainly serve Canadian female victims, and more needs to be done to support male and foreign victims. Victims can typically access basic services such as emergency shelter, food, medical services, psychological support, safety planning, and legal support. The police administer the federal Witness Protection Program to support witnesses, which has recently made marked improvements to its standards and focus on the needs of victims.

Regarding prevention, the Canadian government has shown its commitment to combating human trafficking through the implementation of a five-year national awareness programme and the commissioning of an independent organization to assess the risk of human trafficking in the government's supply chain. Additionally, the government has boosted its efforts to prevent sexual exploitation within the delivery of foreign assistance. However, the country lacks a coherent national strategy to prevent organized crime, and its resources are mainly focused on enforcement. Some public education campaigns have been implemented, and civil remedies have been put in place in some provinces to remove suspected gang members from licensed establishments.

While Canada has also been promoting media freedom domestically and internationally through initiatives such as hosting events, proposing new resolutions, and donating to international organizations focused on freedom of speech it still faces challenges in terms of press coverage involving indigenous people and land disputes. While the government supports civil society organizations, these organizations have a minor role in fighting organized crime in Canada, with some advocacy groups focused on specific areas such as human trafficking and smuggling. Public-private partnerships exist and are encouraged at the federal level to combat crime, with private sector firms and professionals required by law to identify and report suspicious transactions related to money laundering. Private-sector forensic accounting firms play an active role in investigating financial crimes. The media is also actively reporting on organized crime in Canada, and there have been no known recent attacks on journalists by criminal groups.