EBA issues 4th Opinion on money laundering and terrorist financing risks in the EU financial sector
On 13 July 2023, the European Banking Authority (EBA) released its fourth Opinion on the risks of money laundering and terrorist financing (ML/TF) in the European Union's financial sector. The Opinion highlights the evolving risk landscape and suggests measures that can be taken by competent authorities and EU co-legislators to mitigate these risks.
The EBA issues this Opinion against the background of a changed risk landscape, which has an impact on institutions’ anti-money laundering and countering the financing of terrorism (AML/CFT) compliance and competent authorities’ approaches to supervision.
The Opinion underlines the emerging risks such as corruption, laundering of proceeds from environmental crime and cybercrime, and emphasises the importance of addressing ML/TF risks associated with crypto assets and innovative financial services. While AML/CFT supervision has shown improvement, challenges persist in transaction monitoring and reporting of suspicious activities.
The EBA's Opinion also stresses the increased cooperation among AML/CFT supervisors and other authorities, thanks to initiatives like AML/CFT Colleges and Supervisory Colleges. However, there is room for further collaboration with tax authorities to tackle tax-related crimes.
The Opinion is issued under the Fourth EU Anti-Money Laundering Directive, which mandates the EBA to provide an assessment of ML/TF risks every two years.