23rd February 2024
On 20th July 2021, the European Commission proposed an ambitious legislative package aimed at enhancing the EU’s AML/CFT framework. This comprehensive package includes an AML Regulation, an AML Directive, a Regulation establishing a new EU AML Authority, and a recast of the Transfer of Funds Regulation.
Negotiations between the European Parliament, European Council and the European Commission began with a first trilogue on 11 May 2023, followed by 13 additional trilogues under the Spanish and Belgian Presidencies. Provisional agreements were reached on the Regulation establishing a new EU AML Authority (excluding Article 4) on 12/13 December 2023, and on the AML Regulation and the AML Directive on 16/17 January 2024. Following technical review, the resulting compromise legal texts were given the green light by the Permanent Representatives Committee earlier this week. The compromise texts of the AML Directive and Regulations have as a result been made public and may be accessed by clicking on the below links:
What’s Next?
The European Parliament will soon deliberate on these texts. If they adopt them without further changes at first reading, the Council will follow suit, subject to legal linguistic revision by both institutions. Additionally, following a joint vote taken by the co-legislators on 22nd February 2024, Frankfurt was chosen as the seat of the new EU AML Authority which choice shall be reflected in Article 4 of the Regulation establishing this Authority.