Dutch Anti-Money Laundering Regulations Set for Overhaul Amid EU AML Package Implementation
The Netherlands is bracing for significant changes to its anti-money laundering (AML) regulations in line with the European Union’s (EU) upcoming AML package. The overhaul, which comes as a result of the new Anti-Money Laundering Regulation (AMLR) and a revision of the Anti-Money Laundering Directive (AMLD6), is expected to have far-reaching implications for the country’s financial sector.
Key Changes and Implications
The EU AML package includes several key measures:
- Ban on cash payments above €10,000: Member states may apply a lower limit, with the Netherlands potentially setting it at €3,000.
- Data sharing between institutions: Data sharing for customer due diligence purposes is not explicitly included in the AMLR but may still be adopted for the Dutch market.
- Joint transaction monitoring by banks: Joint transaction monitoring will become possible through data sharing facilities, primarily focusing on higher-risk customers or those requiring additional information for risk categorization.
Reporting Unusual Transactions vs Suspicious Transactions
In response to questions from the Standing Committee on Finance, the Minister indicated that reporting unusual transactions will continue under the new regulation (AMLR). This approach has been adopted in previous implementations of European AML directives to provide a clear and objective framework for reporting obligations. The FATF has praised the Netherlands’ system for working with unusual transactions as an important achievement and success factor.
Joint Transaction Monitoring by Banks
The Wwft does not currently allow joint transaction monitoring by banks but is expected to be facilitated through data sharing under the EU AML package. This will enable banks to outsource transaction monitoring to a joint facility, focusing on higher-risk clients or those requiring additional information for risk categorization.
Implementation Timeline and Next Steps
The implementation period of the EU AML package is three years, with the entire package expected to become applicable in mid-2027. The Minister’s proposal focuses on implementing a ban on cash payments above €3,000 while scrapping other proposed measures.
If you have questions about the EU-AML package or other financial regulatory topics, please contact our Financial Regulatory Team for guidance and support.