Disputes with Iceland, Denmark, and the UK over the Faroe Islands continental shelf boundary outside 200 nm.

Transshipment point for and consumer of hashish from North Africa to the UK and Netherlands and of European-produced synthetic drugs; minor transshipment point for heroin and cocaine destined for Western Europe; despite recent legislation, narcotics-related money laundering using bureaux de change, trusts, shell companies involving the offshore financial community remains a concern.