EBA launches consultation on AML/CFT RTS

Article summary

The European Banking Authority (EBA) has launched a consultation on four draft Regulatory Technical Standards (RTS) as part of its response to the European Commission’s call for advice. These standards are crucial to the EU’s new anti-money laundering (AML) and countering the financing of terrorism (CFT) regime, shaping compliance for institutions and supervisors under the new AML/CFT package. The consultation covers how the new EU Authority for AML/CFT will determine which institutions are subject to direct supervision, a harmonised methodology for assessing the ML/TF risks of each institution, customer due diligence requirements, and criteria for imposing pecuniary sanctions including periodic penalty payments. Responses are sought by 6 June 2025. The EBA will submit its finalised RTS to the European Commission by 31 October 2025. A virtual public hearing is scheduled for 10 April 2025.