ncial 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 sophisticated
offshore financial services sector

Lithuania
transshipment point for opiates and other illicit drugs
from Southwest Asia, Latin America, and Western Europe to Western
Europe and Scandinavia; limited production of methamphetamine and
ecstasy; susceptible to money laundering despite changes to banking
legislation

Macedonia
major transshipment point for Southwest Asian heroin and
hashish; minor transit point for South American cocaine destined for
Europe; although most criminal activity is thought to be domestic
and not a financial center, money laundering is a problem due to a
mostly cash-based economy and weak enforcement (no arrests or
prosecutions for money laundering to date)

Madagascar
illicit producer of cannabis (cultivated and wild
varieties) used mostly for domestic consumption; transshipment point
for heroin

Malaysia
transit point for some illicit drugs; drug trafficking
prosecuted vigorously and carries severe penalties

Malta
minor transshipment point for hashish from North Africa to
Western Europe

Martinique
transshipment point for cocaine and marijuana bound for
the US and Europe

Mauritius
minor consumer and transshipment point for heroin from
South Asia; small amounts of cannabis produced and consumed locally;
significant offshore financial industry creates potential for money
laundering, but corruption levels are relatively low and the
government appears generally to be committed to regulating its
banking industry

Mexico
illicit cultivation of opium poppy (cultivation in 2001 -
4,400 hectares; potential heroin production - 7 metric tons) and of
cannabis (in 2001 - 4,100 hectares); government eradication efforts
have been key in keeping illicit crop levels low; major supplier of
heroin and largest foreign supplier of marijuana and methamphetamine
to the US market; continues as the primary transshipment country for
US-bound cocaine from South America, accounting for about 70 percent
of estimated annual cocaine movement to the US; major drug
syndicates control majority of drug trafficking throughout the
country; producer and distributor of ecstasy; significant
money-laundering center

Moldova