Representatives from European Union (EU) member states and the European Parliament have reached an agreement to establish the EU’s new anti-money laundering agency (AMLA) in Frankfurt, as announced in Brussels on Thursday.
The AMLA hailed as a pivotal element in reforming the EU’s anti-money laundering framework, will wield significant supervisory authority over obligated entities and possess the ability to enforce sanctions and measures, according to a press release from the European Council.
Mairead McGuinness, the European Commissioner for Financial Services, underscored in a press conference the EU’s commitment to mitigating the risks associated with handling large sums of cash, while simultaneously addressing the challenges posed by cryptocurrencies and their potential for anonymity.
The initiative follows the presentation of a comprehensive legislative package by the European Commission on July 20, 2021, aimed at bolstering the EU’s anti-money laundering regulations and combating terrorist financing. This package notably includes the establishment of a new EU anti-money laundering authority.
Scheduled to commence operations in mid-2025, the new authority in Frankfurt, already home to the European Central Bank, is expected to boast a workforce exceeding 400 staff members.
