AML/CFT Update: Top 3 Stories Businesses & Investors Should Watch

March 2026 AML/CFT Update

The 3 stories businesses and investors should have on their radar

March 2026 reinforced a familiar regulatory message: AML/CFT expectations are becoming more detailed, more operational, and more closely tied to transparency around customers, ownership structures, and cross-border exposure. For clients and website visitors, the key takeaway is simple: firms that keep their due diligence, source-of-funds evidence, and jurisdiction risk assessments up to date will be better placed to meet rising compliance expectations.

Top 3 stories in March

1) FATF-related country risk updates continued to reshape onboarding and EDD expectations

In March, authorities continued to reflect the outcomes of the FATF plenary held on 11–13 February 2026. FATF added Kuwait and Papua New Guinea to its list of jurisdictions under increased monitoring, while the high-risk jurisdictions subject to a call for action remained Iran, DPRK, and Burma/Myanmar. FinCEN’s March notice reminded firms to consider these developments in their risk-based policies, procedures, and practices. For businesses, that means country-risk matrices, enhanced due diligence triggers, and periodic reviews should be updated promptly when FATF status changes.

2) Europe’s new AML Authority moved deeper into customer due diligence rulemaking

A major March development came from AMLA, the EU’s new Anti-Money Laundering Authority. During the month, AMLA ran consultation activity on draft regulatory technical standards for customer due diligence under the Anti-Money Laundering Regulation, including how CDD requirements should be applied and what information and documents should be collected. AMLA also held a public hearing on 24 March 2026 on the draft RTS on CDD. Even for firms outside the EU, this matters: businesses serving EU-linked clients or structures should expect increasingly standardised and more prescriptive AML/CFT expectations over time.

3) U.S. real estate transparency remained a key AML topic, even as reporting was paused

Another notable March development came from the United States. FinCEN’s residential real estate reporting framework was designed to start on 1 March 2026, targeting certain ownership transfers in residential real estate and requiring reporting by specified real estate professionals. However, FinCEN currently states that, because of a federal court decision, reporting persons are not presently required to file those reports and are not subject to liability for not filing while the order remains in force. Even with that pause, the broader signal is clear: regulators continue to see real estate as a significant money laundering vulnerability, especially where opacity, nominees, or complex ownership structures are involved.

What this means for entrepreneurs

For businesses, investors, and international entrepreneurs, March’s developments point to three practical priorities. First, jurisdiction risk must remain dynamic rather than static, especially where FATF monitoring status changes. Second, customer due diligence is becoming more granular and more document-driven, particularly in Europe. Third, transparency around ownership and control remains central, especially in sectors such as real estate and cross-border structuring. In practice, this means firms should ensure their corporate records, beneficial ownership information, and supporting compliance files are accurate, current, and easy to evidence.

Closing note

March did not bring a single dramatic overhaul of the AML/CFT landscape. Instead, it confirmed the direction of travel: closer scrutiny of higher-risk jurisdictions, more detailed CDD expectations, and stronger focus on beneficial ownership and transaction transparency. For clients, the best response is early preparation, not waiting until a bank, regulator, or service provider asks for documents at short notice.