02 September 2022

EBA calls for more proactive engagement between supervisors in anti-money laundering and counter-terrorist financing colleges

• EBA observes that most competent authorities have devoted resources to ensure effective functioning of anti-money laundering and counter-terrorist financing (AML/CFT) colleges. 
• EBA recommends the organisation of AML/CFT colleges to be more risk-based.

The European Banking Authority (EBA) published today its second report on the functioning of AML/CFT supervisory colleges in the EU. The Report finds that, although competent authorities are committed to implementing the AML/CFT colleges framework, they need to do more to ensure ongoing collaboration and proactive information exchange within colleges.

This Report sets out findings and observations from EBA staff participation in AML/CFT college meetings and from its monitoring activities. In the report, the EBA sets out its observations of good practices with an aim to help competent authorities to enhance their effectiveness in future. These include well-structured and organised college meetings by lead supervisors, pro-active participation and sharing of comprehensive information by some members and an effective involvement of prudential supervisors in some colleges.

The report also highlights areas for improvement. In particular, it points out that, due to their immaturity, AML/CFT colleges are not yet fully embedded in supervisory processes. The Report reminds the supervisors of the importance to exchange information in colleges on an ongoing basis and without delay, particularly where material weaknesses in the institution’s AML/CFT framework have been identified. It also emphasises the need for colleges to be organised in a more risk-sensitive manner with more frequent meetings being held for those cross-border institutions that are exposed to higher risks of ML/TF.

EBA

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