French Crackdown on Money Laundering: A New Era in Anti-Money Laundering Regulations

France has been making significant strides in the global fight against financial crime. Since 2016, the country has taken bold steps to strengthen its anti-money laundering (AML) regime, bringing it in line with European Union (EU) directives.

Integrating EU Directives

December 1, 2016: France integrated the Fourth EU Directive on AML (AMLD4) into its law.
January 1, 2020: France adopted the Fifth EU Directive on AML (AMLD5).

These legislative measures reflect France’s commitment to combating money laundering and terrorism financing.

The Role of Tracfin

The French Ministry of Finance’s Tracfin plays a crucial role in France’s AML efforts. Founded to combat money laundering, Tracfin is responsible for:

Collecting
Analyzing, and
Enriching the suspicious activity reports (SARs) submitted to it.

French Financial Markets Authority (AMF) Guidelines

The French Financial Markets Authority (AMF), which oversees the French stock market, released new guidelines for professionals under its jurisdiction in November 2019. These guidelines emphasize the importance of a risk-based approach to AML and counter-terrorism financing and outline due diligence requirements for:

Customers
Beneficial owners
Politically exposed persons (PEPs)

International Cooperation

France’s commitment to combating financial crimes goes beyond its borders. As a founding member of the Financial Action Task Force (FATF), France works to maintain a consistent international approach to these issues.

Stay Informed

Learn More about financial crime regulatory compliance.

Conclusion

As the global landscape of financial crime continues to evolve, France remains dedicated to staying ahead of the curve. Its unwavering commitment to AML implementation and adherence to international standards serves as a beacon of progress in the fight against financial crime.