FINFSA National AML/CFT Action Plan

On Apr. 30, FINFSA reported decision-in-principle regarding AML/CFT.

  • FIN GVT made a decision-in-principle on the national money laundering and terrorist financing risk assessment 2021 and the corresponding action plan 2021-2023.
  • Follows FINFSA Mar. 2020, AML risk assessment for supervised entities, see #74349.
  • Risk Assessment
  • Examines the risks of money laundering and terrorist financing in Finland by industry.
  • Industry division based on sectors required to report under Money Laundering Act.
  • Risk level for each sector put on scale of 1-4 (1 = low risk, 4 = very significant risk).
  • Based on the Act on the Prevention of Money Laundering and Terrorist Financing.
  • The risk assessment and action plan have also been recommended by the EU and the Financial Action Task Force on Money Laundering and Terrorist Financing (FATF).
  • Sector Risks
  • Credit institutions and payment service providers have been given risk level of three.
  • Although the large number of payment transactions of credit institutions increases risk of money laundering, risk is reduced by the risk management skills of the operators.
  • Reporting agents in many sectors rely on credit institutions for customer identification.
  • Anonymity in some virtual currency services makes it hard to trace funds and origin.
  • Risk is also increased by the large number of transactions and their real-time nature.
  • International money transmission: risk relates to tracing remittances and funds origin.
  • All sectors have difficulty identifying and understanding the signs of terrorist financing.
  • National Action Plan
  • Sets out measures to reduce the risks of money laundering and terrorist financing.
  • The plan covers the years 2021–2023 and includes the following strategic priorities.
  • Increase public awareness; develop information exchange, statistics and legislation.
  • Promote timeliness and content of registers used by public authorities and notifiers.
  • Reduce most significant individual risks raised by assessment; develop digitalization of anti-money laundering and anti-terrorist financing control and risk management.

Regulators FIN GVT; FINFSA
Entity Types B/D; Bank; Corp; Depo; Exch; Fiduciary; HF; IA; Ins; MSB
Reference PR, 4/30/2021
Functions AML; Anti-Bribery; Compliance; Financial; Fraud; Legal; Operations; Reporting; Risk; Technology; Trade Reporting; Trading; Treasury
Countries Finland
Products Banking; Corporate; Deposits; Fund Mgt; Insurance; Loan; Payments; Securities
Regions EMEA
Rule Type Guidance
Rule Date 4/30/2021
Effective Date 4/30/2021
Rule Id 104272
Linked to N/A
Reg. Last Update 4/30/2021
Report Section AML & Enforcement

Last substantive update on 05/03/2021