Malta Enhances Anti-Terrorism Financing Regulations to Combat Evolving Threats

Strengthened Measures Against Money Laundering and Terrorist Funding

In response to the increasingly sophisticated tactics of criminals and terrorists, Malta has strengthened its anti-terrorism financing regulations to prevent and combat money laundering and terrorist funding. The country has established a range of legal provisions to address these threats, including:

Prevention of Money Laundering Act (PMLA): Chapter 373 of the Laws of Malta
Prevention of Money Laundering and Funding of Terrorism Regulations (PMLFTR): SL 373.01
Criminal Code: Chapter 9 of the Laws of Malta, particularly Subtitle IV Article 328A to 328M
National Coordinating Committee on Combating Money Laundering and Funding of Terrorism Regulations: SL 373.02
Centralised Bank Account Register Regulations: SL 373.03
Use of Cash (Restriction) Regulations: SL 373.04

Compliance with International Standards

The EU Commission has set international standards through the Financial Action Task Force (FATF) Recommendations, requiring member states to implement measures to prevent money laundering and terrorist financing. Malta has complied with these directives by presenting and initiating legislation that requires legal persons to take appropriate action to avoid being used for money laundering or terrorist financing purposes.

EU Anti-Money Laundering Directives

The EU has published several anti-money laundering directives, including:

Fourth Anti-Money Laundering Directive: Published in June 2015, came into effect on June 26, 2017
Fifth Anti-Money Laundering Directive: Published in May 2018, took effect on June 20, 2018
Sixth Anti-Money Laundering Directive: Published in November 2018, came into effect on December 3, 2020, with all member states required to implement it by June 3, 2021

These directives can be accessed through the following links:

Conclusion

Malta has taken a proactive approach to strengthening its anti-terrorism financing regulations, ensuring compliance with international standards and protecting the country’s financial system from money laundering and terrorist funding.