Anti-Money Laundering Directive (AMLD)
What the EU Anti-Money Laundering Directives are and how they shape European KYB and beneficial ownership requirements.
1 min read
The Anti-Money Laundering Directives (AMLD) are European Union directives establishing AML/CFT requirements across member states.
AMLD Evolution
| Directive | Year | Key Additions |
|---|---|---|
| AMLD4 | 2015 | Risk-based approach, beneficial ownership registers |
| AMLD5 | 2018 | Public access to UBO registers, virtual currency coverage |
| AMLD6 | 2020 | Harmonized criminal penalties, extended predicate offenses |
Key AMLD Requirements
Beneficial Ownership Registers
EU member states must maintain registers of beneficial owners for companies formed in their jurisdiction.
Customer Due Diligence
- Verify legal entity identity
- Identify beneficial owners (25% threshold)
- Understand the business relationship
- Apply risk-based approach
Enhanced Due Diligence
Required for:
- PEPs
- High-risk third countries
- Complex ownership structures
The Future: AMLR and AMLA
The EU is moving toward:
- AMLR: Directly applicable AML Regulation (not just directive)
- AMLA: New centralized AML Authority to supervise high-risk entities
AMLD and KYB
For organizations operating in Europe, AMLD requirements shape KYB programs—often with stricter beneficial ownership and CDD requirements than US regulations.