Valdis Dombrovskis, the Executive Vice-President of the European Commission (EC), the EU’s executive branch which is also responsible for legislation, revealed in middle January 2020 that the European Commission is taking AMLD5’s implementation very seriously, already drawing up infringement procedures only a month after the January 2020 deadline.

EU has an action plan for making AMLD implementation effective. Directives are downscaling with six pillars that are already settled by the EU. These are a single EU rulebook, EU-level supervision, enforcing EU-level criminal law provisions and information exchange, the EU’s global rule, effective application of EU rules, and a coordination and support mechanism for the Member States Financial Intelligence Units. Every single pillar has its own strategies under the headline.

Detection of anti-money laundering can be easier with KYC. Know Your Customer is a process that banks can identify and verify their customer. This process can help reduce the risks of illegal financial activities by following legal norms for each potential client.
It is a normal practice to open an account in a European bank but it has different criteria for EU residents and non-EU residents. Each country has its own local legal processes but at the same time with the Single Euro Payment System (SEPA), more European countries can work together. Euro area countries are part of SEPA as well as some countries without using euro they are part of SEPA too. This system makes it easier and legal for money transfer. With this system, which includes 36 countries, it is aimed to make bank accounts and money transfer more secure.