Sweden Tightens Anti-Money Laundering and Counter-Terrorism Financing Regulations Amidst Growing Financial Crime Concerns
Strengthened Framework Across the European Union (EU)
Sweden is bolstering its anti-money laundering (AML) and counter-terrorism financing (CFT) regulations to combat financial crime and protect its financial system. This move is prompting firms operating in Sweden to ensure they understand their AML/CFT obligations.
Finansinspektionen: Sweden’s Primary Financial Regulator
At the forefront of Sweden’s AML/CFT efforts is Finansinspektionen (FI), the country’s primary financial regulator. Established in 1991, FI is responsible for:
- Examining the risks and control systems of Swedish financial institutions
- Supervising compliance with relevant regulations
- Assessing the financial health of companies setting up operations in Sweden
- Issuing permits to those deemed competent
Key AML/CFT Legislation: Money Laundering and Terrorist Financing (Prevention) Act
Sweden’s main AML/CFT legislation is the Money Laundering and Terrorist Financing (Prevention) Act, which requires firms to implement a risk-based AML/CFT compliance program. This includes:
- Assessing individual customer risks
- Deploying proportionate compliance measures
- Monitoring customers and transactions for suspicious activity
- Reporting AML alerts to Sweden’s Financial Intelligence Unit
Compliance Requirements
To comply with Sweden’s AML regulations, firms must:
- Conduct customer due diligence
- Screen transactions for signs of money laundering activity
- Perform sanctions and watchlist screenings
- Integrate adverse media screening software capable of screening on a global scale
EU Proposals and Implementations
The Swedish government is pushing for the EU to implement its latest AML/CFT proposals, including:
- Introduction of a single AML/CFT Rulebook
- Centralized Anti-Money Laundering Authority
- Implementation of the EU’s Markets in Crypto-Assets regulation
Staying Ahead of Emerging Risks and Regulatory Requirements
To stay ahead of emerging criminal threats and regulatory requirements, financial institutions operating in Sweden must be able to respond quickly to new risks and adapt their AML/CFT strategies accordingly. Ripjar’s Labyrinth Screening platform provides a powerful compliance advantage by enabling firms to:
- Extract relevant compliance data from thousands of structured and unstructured sources in real-time
- Stay up-to-date with the latest regulatory requirements
Contact Us
To learn more about how Ripjar can support your AML compliance in Sweden, please contact us.