Legislation & Regulation
The various laws and standards aimed at combating money laundering and terrorist financing are being continually updated on international and local levels to respond to the evolving threats posed by criminals and terrorists.
Click on the following page links to access the applicable legislative provisions and recommendations:
Prevention of Money Laundering Act (Cap.373 of Laws of Malta)
Prevention of Money Laundering and Funding of Terrorism Regulations (Subsidiary Legislation 373.01)
Criminal Code (Cap. 9 of Laws of Malta)
Centralised Bank Account Regulations (S.L. 373.03)
European Union (EU) legislation is largely based on the international standards adopted by the Financial Action Task Force (FATF), of which the European Commission is a founder member. The EU framework requires member states of the EU to introduce measures requiring financial institutions and Designated Non-Financial Businesses and Persons (DNFBPs) to take appropriate action to prevent themselves from being used for money laundering or terrorist financing.
The following Directives have been transposed into local legislation, and the Regulation is directly applicable.
Commission Delegated Regulation (EU) 2018/1108 on Central Contact Points
Commission Delegated Regulation (EU) 2019/758 on Measures for Groups present in Certain Third Countries
Commission Delegated Regulation (EU) 2016/1675 on High Risk Third Countries
Directive (EU) 2015/849 – Fourth Anti-Money Laundering Directive
Regulation (EU) 2015/847 – Information accompanying transfers of funds
Directive 2005/60/EC – Third Anti-Money Laundering Directive
2006/70/EC – Implementation Directive
Regulation (EC) 1781/2006
Directive (EU) 2018/843 – Fifth Anti-Money Laundering Directive
The Financial Action Task Force is an independent inter-governmental body tasked with developing standards and promoting policies aimed at protecting the global financial system against money laundering, terrorist financing and the financing of the proliferation of weapons of mass destruction.
The FATF Recommendations, which set out a comprehensive and consistent framework of measures that countries should adopt, are the internationally endorsed global standards against money laundering and the financing of terrorism.