The Australian Transaction Reports and Analysis Centre (AUSTRAC) published its 2025–26 regulatory priorities and a statement of regulatory expectations for implementing reforms to Australia’s anti-money laundering and counter-terrorism financing (AML/CTF) framework. The update signals a shift from a predominantly compliance-checking model to an outcomes-focused approach centred on substantive risks and harms, while AUSTRAC scales up staffing and systems ahead of reforms commencing on 31 March 2026 for current reporting entities and 1 July 2026 for tranche 2 entities. AUSTRAC’s priorities emphasise sector-level assessments of risk and behaviour, with regulatory effort concentrated on effective management of money laundering, terrorism financing and proliferation financing risks and on improving the quality of reporting. Higher-risk areas highlighted include cash and digital currencies, with AUSTRAC noting that more than AUD 100 billion in cash remains in circulation and that digital currencies can facilitate rapid cross-border transfers. Current reporting entities are expected to maintain existing controls while developing and executing documented transition plans, demonstrating sustained progress and strengthening frameworks where controls are not effective. Tranche 2 entities are expected by 1 July 2026 to be enrolled (with enrolment opening 31 March 2026), have an AML/CTF program and compliance officer, train staff and be ready to engage clients and submit suspicious matter reports; post-1 July 2026 enforcement will prioritise entities that wilfully ignore enrolment obligations or are complicit with, or wilfully blind to, money laundering. AUSTRAC also set out planned support, including tailored guidance, starter programs, and education and industry forums, alongside more direct sector communications on expected standards and the specific failings and risks it wants addressed.
Australian Transaction Reports and Analysis Centre (AUSTRAC) 2025-07-17
Australian Transaction Reports and Analysis Centre sets 2025–26 regulatory priorities as AML/CTF reforms prepare to bring 80,000 new tranche 2 businesses into scope
AUSTRAC has released its 2025–26 regulatory priorities, emphasizing an outcomes-focused approach in the anti-money laundering and counter-terrorism financing framework. The strategy prioritizes sector-level risk assessments, particularly in cash and digital currencies, and outlines expectations for current and tranche 2 reporting entities to enhance controls and compliance by mid-2026. AUSTRAC plans to support these efforts with tailored guidance, education, and direct sector communications.