Global AML and CFT regulatory updates

New anti-money laundering (AML) and countering financing of terrorism (CFT) regulations are being implemented in New Zealand and the European Union.

In New Zealand, the real estate sector will face a new tiered AML/CFT levy starting in the 2027 financial year. The Real Estate Institute of New Zealand (REINZ) noted that the structure includes exemptions for entities with less than $10 million in settled transactions to avoid placing an “unreasonable burden on smaller agencies”.

In the European Union, Regulation (EU) 2024/1624 will introduce a uniform €10,000 limit for cash payments in business transactions, effective July 10, 2027. This regulation also expands due diligence requirements for banks, requiring identity verification for occasional cash transactions starting at €3,000 and mandatory reporting to national Financial Intelligence Units for cash deposits of €10,000 or more. While the €10,000 limit serves as a Union-wide maximum, individual member states may maintain stricter thresholds, such as in Spain where certain cash transactions are limited to €1,000. In Austria, where cash still accounts for 55 percent of transactions, banks currently investigate unusually high amounts, often using a €15,000 threshold under existing laws.