EU-AML Framework alert: Reporting obligation shifting from unusual to suspicious transactions

In the coming years, the current Dutch Anti-Money Laundering and Counter-Terrorist Financing Act (Wwft) willbe replaced by new European anti-money laundering rules. This so-called AML framework consists of severalpieces of regulation, including AMLR, AMLD6 and AMLAR.

In this thematic article we take a closer look at the reporting obligation. Whereas Dutch financial institutions are currently required to report unusual transactions to FIU-NL, the AML Regulation (AMLR) will, as of 2027, require institutions to independently assess whether a transaction is suspicious and subsequently report it to FIU-NL. At first glance, this shift appears to be a logical step toward harmonisation across Europe. However, we believe it also presents significant challenges for Dutch financial institutions. 

Current approach in the Netherlands

The Netherlands has had a unique reporting system since the mid 1990’s. Institutions are required to report unusual transactions based on objective and subjective indicators, after which the FIU determines whether a transaction is suspicious. This division of responsibilities was deliberately introduced at the time, since financial institutions do not have access to law enforcement information and are therefore limited in their ability to qualify a transaction as suspicious. As former Minister Kaag confirmed in 2022: 'Reporting suspicious transactions requires in-depth investigation, which is better suited to the FIU.'

Key Changes Under the AMLR

Institutions will be required to independently assess whether a transaction is suspicious and report it to FIU-NL.
Following the report of a suspicious transaction, the institution must freeze the transaction and await further instructions from the FIU or another competent authority—unless no instructions are given within three working days.
If it is not possible to prevent the execution of the transaction, the institution must still report it to FIU-NL.

The new European supervisory authority on this subject, AMLA, will issue guidelines on indicators of suspicious activities or behaviours no later than 10 July 2027.

The challenge: independently assessing suspicious behaviour

The new rules may appear to increase the reporting burden, yet they are also seen as a way to reduce regulatory pressure on institutions. This is due to several factors:

• Institutions will be required to independently assess whether a transaction is suspicious, without access to law enforcement information.
• At the same time, for several decades, institutions in the Netherlands have been subject to rules requiring the reporting of unusual transactions. Over the years, they have become more aware and professional in their role as organisations tasked with identifying and reporting suspicious transactions.
• Moreover, the current Minister of Finance recently stated in a letter to the Dutch Parliament that the government will work with relevant stakeholders to advocate within AMLA for clear and practical indicators, and to ensure that all parties are informed and well-prepared for the upcoming changes.

Practical implications

The transition to these new rules will ultimately require significant adjustments. These include:

• New assessment frameworks: What qualifies as a suspicious transaction? And who within the organization is responsible for making that decision?
• Training and awareness: Co-workers will need to think more like analysts—not just identifying signals, but also interpreting them.
• Documentation: Decision-making must be thoroughly substantiated and reproducible.

In the meantime, we recommend exploring within your organization how best to structure the future reporting obligation, staying well-informed about developments, and preparing in a timely manner for the precise application of the new rules.

Status and timelines of the AML framework

As of 10 July 2024, the AMLR and AMLD6 have entered into force. Both the AMLR and AMLD6 will be largely applicable from 1 July 2027. Additionally, the Regulation establishing the European AML/CFT Authority (AMLAR) has entered into force as of 25 June 2024 and will be largely applicable from 1 July 2025.

The AMLA (EU Authority for Anti-Money Laundering and Countering the Financing of Terrorism) will also have a more active role. One of AMLA’s tasks will be to develop guidelines and technical regulatory standards that will provide more clarity on the application and implementation of AMLR and AMLD6.

In the coming period, we will continue to closely monitor the developments and keep you informed via our website and our monthly newsletter. You can sign up for our newsletter here:

If you have any questions in the meantime, please don't hesitate to contact us.