Swedish Financial Supervisory Authority: Enforcing Anti-Money Laundering and Counter-Terrorism Financing Regulations in Sweden

The Swedish Financial Supervisory Authority (SFSA) is the primary agency responsible for enforcing anti-money laundering (AML) and counter-terrorism financing (CTF) regulations in Sweden. Its mission is to ensure the Swedish financial system’s efficiency, stability, and customer protection. In addition, the Swedish Bar Association supervises attorneys and associate lawyers.

Compliance Obligations for Businesses

To operate in Sweden’s financial markets, businesses must adhere to the following Swedish laws:

1. The Anti-Money Laundering Act
2. Criminal Code for Money Laundering Offenses

Businesses must assess their risk of money laundering or terrorism financing based on factors such as:

• Target markets
• Distribution networks
• Regional risk factors

Implementing AML/CTF Compliance Strategies

1. Risk-Based Strategy and Compliance Program

   • Develop policies, processes, and guidelines
   • Customer due diligence (CDD)
   • Monitoring
   • Record-keeping

2. Client Risk Profile and Safety Measures

   • Implement AML/CTF training
   • Examine transactions

3. Record-Keeping and Reporting

   • Maintain records of CDD measures for 5 years
   • Report any suspected transactions to the Financial Intelligence Unit (FIU) immediately

Key Takeaways

• The Swedish Financial Supervisory Authority enforces AML/CTF regulations to protect the Swedish financial system.
• Businesses must comply with the Anti-Money Laundering Act and Criminal Code for Money Laundering Offenses.
• Risk assessment is crucial to determine potential money laundering or terrorism financing risks.
• Adopt a risk-based strategy and create a compliance program.
• Maintain records of CDD measures and report any suspected transactions to the FIU.

Through effective implementation of AML/CTF compliance strategies, businesses can protect themselves and contribute to maintaining a stable financial system.