New EU Regulation on Preventing Money Laundering and Terrorist Financing

By Piotr Bąkowski  

In 2021, the European Commission presented a package of legislative proposals in the area of anti-money-laundering efforts and countering the financing of terrorism (AML/CFT). One of them, a proposal on the prevention of the use of the financial system for money laundering or terrorist financing, became Regulation (EU) 2024/1624, adopted on 31 May 2024. Its detailed, directly applicable provisions will replace the minimum rules of the existing EU AML directives. Most provisions will apply from 10 July 2029. The package was adopted in response to repeated calls by the European Parliament and the Council of the EU to enhance the EU's AML/CFT regulatory framework. The aim is for the framework to become more coherent, keeping in step with technological innovations and related new forms of crime, as well as remaining in line with international standards in the area. In Parliament, the Committees on Economic and Monetary Affairs and on Civil Liberties, Justice, and Home Affairs were jointly responsible for the file. Second edition. The 'EU Legislation in Progress' briefings are updated at key stages throughout the legislative procedure.

Brussels: EPRS | European Parliamentary Research Service, 2024, 10p.