Timeline: EU action against money laundering and terrorist financing

On 21 January 2025, the Council appointed Bruna Szego as chair of the anti-money laundering authority. 

• Economic and Financial Affairs Council, 21 January 2025

The Council today adopted a package of new anti-money-laundering rules that will protect EU citizens and the EU's financial system against money laundering and the financing of terrorism. 

The package also sets up a new European authority for anti-money laundering and countering the financing of terrorism (AMLA) that will have direct and indirect supervisory powers over high-risk obliged entities in the financial sector.

• Anti-money laundering: Council adopts package of rules (press release, 30 May 2024)

The Council and the European Parliament reached an agreement on the seat of the future European authority for anti-money laundering and countering terrorist financing (AMLA). Representatives of both co-legislators voted at the same time, with 27 votes attributed to each in an informal inter-institutional meeting at political level. Nine member states submitted applications to host AMLA: Belgium (Brussels), Germany (Frankfurt), Ireland (Dublin), Spain (Madrid), France (Paris), Italy (Rome), Latvia (Riga), Lithuania (Vilnius) and Austria (Vienna).

AMLA will be based in Frankfurt and begin operations mid-2025. The authority will have over 400 staff members.

The location of the seat will be included in the AMLA regulation and formally adopted as part of the text.

• Frankfurt to host the EU’s new anti-money laundering authority (AMLA) (press release, 22 February 2024)

The Council and Parliament came to a provisional agreement on parts of the anti money laundering package that aims to protect EU citizens and the EU’s financial system against money laundering and financing terrorists.

The provisional agreement on an anti money laundering regulation will, for the first time, exhaustively harmonise rules throughout the EU, closing possible loopholes used by criminals to launder illicit proceeds or finance terrorist activities through the financial system.

• Anti money laundering: Council and Parliament strike deal on stricter rules (press release, 18 January 2024)

The Council and the European Parliament representatives reached a common understanding on the process for selecting the seat of the future European authority for countering money laundering and terrorist financing (AMLA).

• Anti-money laundering: Council and Parliament agree on procedure to select seat for new authority (press release, 18 December 2023)

The Council and the Parliament reached a provisional agreement on creating a new European authority for countering money laundering and financing of terrorism (AMLA) - the centrepiece of the anti-money laundering package presented by the European Commission in July 2021. The new rules aim to protect EU citizens and the EU’s financial system against money laundering and terrorist financing.

AMLA will have direct and indirect supervisory powers over high-risk obliged entities in the financial sector.

The agreement leaves out a decision on the location of the agency’s seat, a matter that continues to be discussed on a separate track.

• Anti-money laundering: Council and Parliament agree to create new authority (press release, 13 December 2023)

The Council adopted updated rules on information accompanying the transfers of funds by extending the scope of the rules to transfers of crypto assets.

Under the new rules crypto asset service providers are obliged to collect and make accessible certain information about the sender and beneficiary of the transfers of crypto assets they operate, regardless of the amount of crypto assets being transacted.

This ensures the traceability of crypto-asset transfers in order to be able to better identify possible suspicious transactions and block them.

• Anti-money laundering: Council adopts rules which will make crypto-asset transfers traceable (press release, 16 May 2023)

In order to enlarge the scope of the existing regulatory framework and to close possible loopholes, the Council agreed its position on an anti-money laundering regulation and a new directive.

The new rules on EU anti-money laundering and combating the financing of terrorism will be extended to the entire crypto sector, obliging all crypto-asset service providers to conduct due diligence on their customers. This means that they will have to verify facts and information about their customers.  

• Anti-money laundering: Council agrees its position on a strengthened rulebook (press release, 7 December 2022)

 The Council and the Parliament have reached a provisional agreement on the proposal updating the rules on information accompanying the transfers of funds by extending the scope of the rules to transfers of crypto assets.

The new agreement will enable the EU to crack down on the abuse of crypto assets for money laundering and terrorist financing, while reconciling competitiveness, consumer and investor protection, and the protection of the financial integrity of the internal market.

• Anti-money laundering: Provisional agreement reached on transparency of crypto asset transfers (press release, 29 June 2022)

The Council agreed its partial position on the creation of a dedicated anti-money laundering authority (AMLA).

Given to the cross-border nature of crime, the new authority is expected to make a strong and useful contribution to fighting anti-money laundering and the financing of terrorism.

In its position, the Council adds powers to the authority to directly supervise certain types of credit and financial institutions, including crypto asset service providers, if they are considered risky. It also entrusts the authority to supervise up to 40 groups and entities - at least in the first selection process – and to ensure a complete coverage of the internal market under its supervision. More powers are also given to the general board in the governance of AMLA.

• New EU Authority for Anti-money laundering: Council agrees its partial position (press release, 29 June 2022)

Following a discussion at the video conference of economics and finance ministers on 4 November 2020, the Council adopted conclusions on anti-money laundering and terrorism financing.

These provide the Commission with guidance in advance of its legislative proposals in 2021. In particular for setting up:

• a single rule book harmonising EU rules
• an EU-level supervisor with direct supervisory powers
• a coordination and support mechanism for national financial intelligence units

• Video conference of economics and finance ministers, 4 November 2020

Ministers held a discussion following a presentation by the European Commission of its plans to further strengthen the EU's fight against money laundering and terrorist financing. 

In particular, they discussed:

• how to best achieve a harmonised set of rules
• how to make better use of data, data analysis and data sharing
• the possibility of setting up a new dedicated EU authority 
• the revised methodology for the identification of high-risk third countries

The Commission's action plan follows up on the Council conclusions of December 2019, which set out strategic priorities for reform in this area.

• Video conference of economics and finance ministers, 19 May 2020
• Commission steps up fight against money laundering and terrorist financing (press release, 7 May 2020, European Commission)

The Council adopted conclusions on strategic priorities on anti-money laundering and countering the financing of terrorism.

The conclusions are a direct response to the EU strategic agenda for 2019-2024, in which the European Council calls for "strengthening our fight against terrorism and cross-border crime, improving cooperation and information-sharing and further developing our common instruments". The conclusions also build on the Commission's communication and four reports published in July 2019. 

The Council invites the Commission to explore possible further actions to enhance anti-money laundering rules.

• Money laundering: Council sets strategic priorities for further reforms (press release, 5 December 2019)
• European Council: A new strategic agenda 2019-2024
• Fight against money laundering and terrorist financing: Commission assesses risks and calls for better implementation of the rules (press release, 24 July 2019, European Commission)

The Council presidency and the European Parliament reached a provisional agreement on a set of proposals to review the functioning of the current European system of financial supervision.

They agreed on the first fundamental review of the tasks, powers, governance and funding of the European supervisory authorities and the European Systemic Risk Board, to adapt these authorities to the changed context in which they operate. The reform also includes provisions reinforcing the role of the European Banking Authority as regards risks posed to the financial sector by money laundering and terrorist financing activities.

• Financial supervision: Council presidency and Parliament reach provisional deal on supervisory framework for European financial institutions (press release, 21 March 2019)

The Council unanimously decided to reject a draft list put forward by the European Commission of 23 high-risk third countries in the area of money laundering and terrorist financing.

In a statement, the Council justified its decision on the grounds that it "cannot support the current proposal that was not established in a transparent and resilient process that actively incentivises affected countries to take decisive action while also respecting their right to be heard".

• Money laundering and terrorist financing: Council returns draft list of high risk countries to the Commission (press release, 7 March 2019)

EU ambassadors agreed the Council's negotiating position on a proposal reinforcing the role of the European Banking Authority (EBA) as regards risks posed to the financial sector by money laundering activities.

According to the agreed text, the EBA would be given, in particular, the following tasks:

• collecting information from national authorities relating to weaknesses identified in the context of their actions against money laundering and terrorist financing
• enhancing the quality of supervision through the development of common standards and coordination among national supervisory authorities
• performing risk assessments on competent authorities to evaluate their strategies and resources to address emerging anti-money laundering risks at EU level
• facilitating cooperation with non-EU countries on cross-border cases
• as a last resort if national authorities do not act, the EBA would be able to address decisions directly to individual banks

• Anti-money laundering: Council agrees position on reinforced supervision for banks (press release, 19 December 2018)

The Council adopted conclusions on an action plan to better tackle money laundering and terrorist financing.

The conclusions set out a number of short-term non-legislative actions to enhance the supervision of anti-money laundering activities and encourage cooperation between competent authorities.

• Economic and Financial Affairs Council, 5 December 2018

The Council adopted a new anti-money laundering directive, which complements the fifth anti-money laundering directive adopted in May 2018.

The directive introduces new criminal law provisions, which will disrupt and block access by criminals to financial resources, including those used for terrorist activities.

• EU adopts tougher rules on money laundering (press release, 11 October 2018)

The Commission presented its proposal to strengthen the role of the European Banking Authority (EBA) in supervising EU financial institutions, to better address money laundering and terrorist financing threats. 

Ministers stressed the importance of proper implementation of EU rules on anti-money laundering and enhancing cooperation between anti-money laundering and prudential supervisors to create an efficient monitoring framework. 

The Council also adopted a regulation tightening controls on cash entering or leaving the Union, thereby bringing EU legislation in line with the highest international standards on combating money laundering and terrorism financing.

The fight against money laundering is an integral part of our effort to reduce risks in the financial sector and to bring back confidence in our financial system. The EU has carried out ambitious reforms but we now need to make sure that they are enforced and monitored effectively across the EU. Hartwig Löger, minister for finance of Austria which holds the Council presidency in the 2nd half of 2018

• Economic and Financial Affairs Council, 2 October 2018

The Council adopted the directive strengthening EU rules to prevent money laundering and terrorist financing, the fifth anti-money laundering directive. This follows an agreement with the European Parliament reached in December 2017. The Parliament approved the agreed text on 19 April 2018.

• Money laundering and terrorist financing: new rules adopted (press release, 14 May 2018)

EU ambassadors confirmed the political agreement reached between the presidency and the European Parliament on strengthened EU rules to prevent money laundering and terrorist financing.

"Today's agreement is an important step in removing the means available to terrorists," said Toomas Tõniste, minister for finance of Estonia, the country holding the Council's presidency. "It contains new measures that will help the authorities to better track financial flows and disrupt the financing of criminal networks."

Parliament and Council are to proceed with the adoption of the directive at first reading.

The Council agreed its negotiating position allowing the Council presidency to start negotiations with the European Parliament on the final version of the proposed revision of the anti-money laundering directive. 

• Council negotiating position on the draft directive on the prevention of money laundering and terrorist financing, 19 December 2016

The Council held a preliminary exchange of views on the Commission's plan to tackle money laundering and enhance tax transparency.

• Economic and Financial Affairs Council, 12 July 2016

The European Commission published its proposal to amend the fourth anti-money laundering directive. It is part of the Commission's 2016 action plan to strengthen the fight against terrorist financing.

The Council discussed the Commission's action plan for strengthening the fight against terrorist financing, and adopted conclusions setting out the priorities in this area.

• Council conclusions on the fight against the financing of terrorism (12 February 2016)

The European Council discussed further action that needs to be taken to fight terrorist financing and money laundering. 

• European Council conclusions, 17-18 December 2015
• European Council, 17-18 December 2015

The Council discussed how to strengthen the EU's fight against terrorism and adopted conclusions, in which it stressed the importance of upgrading the existing legal framework addressing terrorist threats.

The conclusions invited the European Commission to present proposals to increase the power of, and improve the cooperation between, national financial intelligence units and to strengthen controls on certain payment methods, including anonymous mechanisms and virtual currencies.

• Conclusions of the Council of the EU and of the member states meeting within the Council on counter-terrorism, 20 November 2015
• Justice and Home Affairs Council, 20 November 2015