The Federal Reserve seeks public input on aligning anti-money laundering requirements with other agencies’ proposed changes within 60 days.
The Federal Reserve proposed amendments to bank anti-money laundering (AML) program requirements, aiming to align with changes suggested by four other regulatory agencies. The proposal would mandate banks to allocate AML resources based on risk, prioritizing higher-risk customers and activities. It also requires integration of Financial Crimes Enforcement Network’s AML priorities into risk assessments.
Under the new rules, the Fed would focus supervision on significant failures in program implementation rather than routine compliance. The proposal follows broader regulatory efforts to modernize AML frameworks. Comments on the amendments are due 60 days after Federal Register publication.
The changes reflect a shift toward more targeted and efficient AML oversight, potentially reducing compliance burdens for lower-risk operations.