Thu. Dec 26th, 2024

Author: EU Commission, Financial Stability, Financial Services and Capital Markets Union

Topics: Banking and financial services

On 20 July 2021, the European Commission presented an ambitious package of legislative proposals to strengthen the EU’s anti-money laundering and countering the financing of terrorism (AML/CFT) rules. The package also includes a proposal for the creation of a new EU authority to fight money laundering. It is part of the Commission’s commitment to protect EU citizens and the EU’s financial system from money laundering and terrorist financing. The aim is to improve the detection of suspicious transactions and activities, and close loopholes used by criminals to launder illicit proceeds or finance terrorist activities through the financial system.

Documents

Today’s package consists of 4 legislative proposals.

A new EU AML Authority (AMLA)

At the heart of today’s legislative package is the creation of a new EU authority that will transform AML/CFT supervision in the EU and enhance cooperation among financial intelligence units (FIUs). It will be the central authority coordinating national authorities to ensure the private sector correctly and consistently applies EU rules.

New regulation on AML/CFT

The new regulation will contain directly applicable rules, including in the areas of customer due diligence and beneficial ownership.

6th Directive on AML/CFT (AMLD 6)

The directive will replace the existing Directive 2015/849/EU containing provisions that will be transposed into national law, such as rules on national supervisors and financial intelligence units in Member States.

Revision of the 2015 Regulation on Transfers of Funds

The revision of Regulation 2015/847/EU will make it possible to trace transfers of crypto-assets and limit large cash payments.

  • Text of the proposal for a revised regulation on transfers of funds
Next steps

The legislative package will be discussed by the European Parliament and Council. The Commission is hopeful for a speedy legislative process. The AML authority should be operational in 2024 and will start the work of direct supervision slightly later, once the directive has been transposed and the new rules start to apply.

Related information

DIRECTORATE-GENERALFISMA

The EU has laws in place to combat money laundering and the financing of terrorism.

Fighting money laundering and terrorist financing contributes to global security, integrity of the financial system and sustainable growth.

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