Financial Crime World

Bulgaria Enacts New Measures Against Money Laundering Act

Combating Illicit Activities with Stricter Regulations

The Bulgarian government has introduced new measures aimed at combating money laundering and terrorist financing, effective from March 31, 2018. The Measures against Money Laundering Act (MAMLA) aims to prevent the use of the financial system for these illicit activities.

Obligated Entities Under MAMLA

The following entities are now required to implement stricter regulations to detect and prevent money laundering and terrorist financing:

  • Financial institutions
  • Payment service providers
  • Currency exchange offices
  • Insurers
  • Reinsurers
  • Insurance intermediaries
  • And other relevant organizations

Key Requirements under MAMLA

To comply with the MAMLA, obligated entities must:

  • Identify their ultimate beneficial owners (UBOs)
  • Implement effective internal rules on money laundering and terrorist financing control and prevention
  • Establish procedures for verifying client identity, assessing potential risks, and clarifying the source of funds subject to transactions

Consequences of Non-Compliance

Failure to comply with the MAMLA can result in severe sanctions imposed by competent authorities.

Expert Support from Eurofast

Eurofast, a regional business advisory organization, offers its expertise to support businesses in Bulgaria in complying with these new regulations. Their team of professionals can assist clients in:

  • Analyzing their client base and assessing potential risks
  • Preparing documentation to ensure compliance with the MAMLA

“We understand that navigating these complex regulations can be challenging for businesses,” said Ioannis Kesisis, Country Manager at Eurofast. “Our team is dedicated to helping our clients navigate this process and ensuring they are compliant with the new requirements.”

Contact Information

For more information on how Eurofast can support your business in Bulgaria, contact: