Finance Minister Lars Klingbeil (SPD) announced that, in an effort to combat money laundering, he will not create a new federal agency, but instead will implement rapid reforms within the existing Customs agency. According to a letter addressed to Customs staff, reported by “Redaktionsnetzwerk Deutschland” Klingbeil stated that he opted to strengthen the established structures of Customs, making it more capable in the fight against money laundering, as well as terrorism and proliferation financing. He described money laundering as a “significant” threat to Germany’s economic and financial standing, noting that it compromises the integrity of the financial system, drains crucial state revenues, and reinforces criminal networks.
This commitment comes after Germany has faced repeated criticism from international organizations regarding its insufficient anti-money laundering measures. The previous government coalition had planned to establish a “Federal Agency for Combating Financial Crime” to consolidate historically fragmented responsibilities. However, this plan never advanced due to internal disputes.
Klingbeil now confirms that these proposals are permanently shelved. Instead, the centralized unit for anti-money laundering-the Financial Intelligence Unit (FIU)-will remain within Customs. However, Klingbeil clarified that the FIU will undergo changes to become professionally and organizationally more independent, aligning with international best practices.
The reforms grant the Customs agency new powers. For example, specialized nationwide divisions within Customs will now assume the responsibility for criminal investigations involving major international money laundering cases. Furthermore, a “national expertise center” will be established inside the FIU to train personnel at both the federal and state levels, better equipping them to tackle money laundering and counter-terrorism efforts. Klingbeil concluded that all these measures are designed to ensure that Germany is fully prepared for its next review by the international Financial Action Task Force (FATF), which is scheduled for 2028/2029.
