In this blog, we highlight the most important financial regulatory updates that were released in Week 12 of 2025 across a number of jurisdictions and business lines. These changes have an impact on the global financial environment, touching on topics related to banking, insurance, investment, and cross-sectoral compliance. They range from technical amendments and public consultations to supervisory guidance and policy reforms. This overview provides a consolidated perspective of significant developments that could impact your operational and strategic planning, regardless of whether you are a business leader navigating compliance issues or a regulatory professional.
Business Line | Country | Regulator | Regulatory Update | Summary |
All | Australia | ACCC | The Australian Competition and Consumer Commission (ACCC) has released draft Merger Assessment Guidelines (March 2025) following major reforms to the Competition and Consumer Act 2010. These reforms, enacted through the Treasury Laws Amendment (Mergers and Acquisitions Reform) Act 2024, introduce a mandatory notification regime for certain acquisitions and enhance the ACCC’s ability to prevent mergers that substantially lessen competition. The updated guidelines clarify that this includes mergers that create, strengthen, or entrench market power. They outline a comprehensive analytical framework covering unilateral and coordinated effects, non-horizontal mergers, serial acquisitions, and the treatment of public benefits and detriments. The reform shifts Australia towards a more structured and proactive merger review process, aligning with global best practices while focusing on long-term competitive impacts across sectors. | |
Belgium | NBB | Updated AML/CFT Questionnaire Process to Strengthen Risk-Based Supervision | The National Bank of Belgium (NBB) has issued a Circular NBB_2025_04 outlining updates to its periodic Anti-Money Laundering and Counter-Terrorist Financing (AML/CFT) questionnaires for supervised financial institutions. Aligned with FATF Recommendations and EU AML legislation, the updated approach reinforces a risk-based supervisory model by gathering detailed, standardised information on both inherent ML/FT risks and institutions’ risk management frameworks. Notably, the 2025 edition introduces targeted questions on virtual IBANs and crypto assets, reflecting emerging sectoral risks. Financial institutions must complete both a sector-wide and activity-specific questionnaire via the OneGate platform by 15 May 2025. The information collected will inform supervisory priorities and may be verified through on-site inspections. The circular underscores senior management’s accountability for accurate and complete submissions. | |
Isle of Man | IOMFSA | The Isle of Man Financial Services Authority (FSA) has released its AML/CFT/CFP supervisory priorities for the 2025–2027 period, aligned with the Authority’s 2024–2027 Strategic Plan. The FSA will apply a risk-based engagement model distinct from impact-led supervision, concentrating resources on firms rated as high or medium-high risk for financial crime. Key priorities include thematic inspections on sanctions compliance, the application of the Travel Rule by Virtual Asset Service Providers (VASPs), and cross-sectoral evaluations of frameworks addressing terrorist and proliferation financing. The plan also outlines continued sectoral scrutiny of estate agents, moneylenders, and non-life insurers, alongside initiatives to assess firms’ business risk assessments, reporting, registers, and records. Through data-driven supervision using tools like Strix, the FSA aims to enhance regulatory effectiveness and industry compliance across all financial sectors. | ||
Malaysia | BNM | Revised Climate Risk Management and Scenario Analysis Policy | Bank Negara Malaysia (BNM) has released an updated Policy Document on Climate Risk Management and Scenario Analysis, applicable to all licensed banks, insurers, takaful operators, development financial institutions, and financial holding companies. This policy strengthens governance, strategic planning, and risk management practices around climate-related financial risks. Institutions are required to integrate climate risk into their internal control frameworks, risk appetite, and enterprise-wide risk management. A key feature is the enhanced use of scenario analysis—both qualitative and quantitative—to assess resilience under various climate pathways. The policy also mandates alignment with the Task Force on Climate-related Financial Disclosures (TCFD) and the National Sustainability Reporting Framework (NSRF), with staggered compliance deadlines based on institution size and market listing. By embedding climate considerations into capital adequacy, strategy, and disclosures, BNM aims to drive financial sector resilience and support a just and orderly transition to a low-carbon economy. | |
New Zealand | FMA | The Financial Markets Authority (FMA) of New Zealand has published a strategic document outlining its shift toward an outcomes-focused regulatory approach. Aligned with its 2024–2028 Statement of Intent, this model emphasises delivering fair, efficient, and transparent financial markets by targeting regulatory efforts on tangible results for consumers and investors. Key outcomes include fair service delivery, ongoing service quality, enhanced market access, improved financial literacy, resilient market infrastructure, and responsible innovation. The FMA plans to operationalise this model through revised supervision methods, sector-specific insights, a forthcoming Financial Conduct Report, and a regulatory sandbox to facilitate innovation. Enforcement priorities will focus on addressing harmful conduct, especially at the regulatory perimeter, such as crypto and wholesale services. This approach aims to reduce unnecessary regulatory burden, enhance market integrity, and ensure proportionate, risk-based oversight across the financial sector. | ||
Switzerland | FINMA | The Swiss Financial Market Supervisory Authority (FINMA) has released a Circular 2025/4, establishing updated guidelines for the consolidated supervision of financial groups under the Banking Act (BA) and Financial Institutions Act (FinIA), effective from 1 July 2025. The circular clarifies the scope and methodology of regulatory consolidation, covering banks, securities firms, and other institutions within financial groups. It defines supervisory expectations on both qualitative (e.g. governance, risk management, AML controls) and quantitative elements (e.g. capital adequacy, liquidity, financial reporting). The circular introduces detailed guidance on identifying financial groups, determining inclusion in the regulatory scope, and distinguishing between legal/formal control and de facto support obligations. It also outlines ring-fencing measures in cases where foreign consolidated supervision is inadequate. This reform strengthens FINMA’s oversight of cross-sector and cross-border financial group structures to ensure financial stability and regulatory coherence. | ||
United Kingdom | FCA | Good and Poor Practices in Supporting Customers in Vulnerable Circumstances | The UK Financial Conduct Authority (FCA) has published a report detailing good practices and areas for improvement in how firms treat customers in vulnerable circumstances under the Consumer Duty and FG21/1 guidance. Based on surveys, multi-firm reviews, and consumer research, the FCA identified examples of effective strategies, including the use of AI to detect vulnerability indicators, tailored communications, and staff training to support customers’ needs. However, many firms struggle with defining good outcomes, data usage, escalation procedures, and product design that adequately considers vulnerability. Key areas requiring improvement include outcomes monitoring, system limitations, inconsistency in communication, and insufficient training for non-frontline staff. The report aims to guide firms in embedding fair treatment into governance, support structures, and product development processes to ensure equitable outcomes for all consumers. | |
United States | FinCEN | Exemption of U.S. Entities from Beneficial Ownership Reporting, Revises Rules for Foreign Companies | On 21 March 2025, the U.S. Financial Crimes Enforcement Network (FinCEN) issued an interim final rule eliminating the obligation for U.S. companies and U.S. persons to report beneficial ownership information (BOI) under the Corporate Transparency Act. The rule redefines “reporting companies” to include only foreign entities that register to do business in the U.S. via state or tribal authorities. Domestic entities are now fully exempt from BOI reporting. Foreign entities that meet the updated criteria must comply with new reporting deadlines—within 30 days of the rule’s publication for previously registered entities, or within 30 days of registration for new entrants. U.S. persons who are beneficial owners of foreign entities are no longer subject to reporting requirements. FinCEN is seeking public comments and expects to finalize the rule later in 2025. | |
United States | SEC | Updated EDGAR Filer Manual to Support SPAC Tagging and EDGAR Next Enhancements | The U.S. Securities and Exchange Commission (SEC) has adopted several updates to the EDGAR Filer Manual, releasing Versions 73 and 74 of Volume II, alongside amendments to Rule 301 of Regulation S-T. Version 73 reflects system changes supporting new Inline XBRL tagging requirements for disclosures by Special Purpose Acquisition Companies (SPACs), effective from June 2025. Version 74 incorporates EDGAR Next rulemaking changes, including enhanced filer access and account management features, effective from 24 March 2025. These updates align technical specifications with broader SEC regulatory reforms and modernize EDGAR infrastructure to improve system usability, data accuracy, and regulatory compliance. The revisions also support the introduction of a new dashboard, transition protocols for asset-backed securities issuers, and API integration for authorized users. | |
Banking | European Union | EBA | Updated Technical Standards for Joint Decision Process on Internal Models under CRR III | The European Banking Authority (EBA) has published an updated Implementing Technical Standards (ITS) amending Commission Implementing Regulation (EU) 2016/100, which governs the joint decision process for authorising internal models under the Capital Requirements Regulation (CRR), now revised under CRR III (Regulation (EU) 2024/1623). The update removes references to the Advanced Measurement Approach (AMA) for operational risk, which is no longer permitted, and aligns the ITS with revised supervisory college rules and delayed FRTB implementation. The amendments aim to enhance supervisory cooperation, maintain consistency in internal model assessments across EU jurisdictions, and reduce regulatory complexity for institutions. Despite calls for broader reforms during consultation, the EBA limited changes to those required by legal developments, preserving the robustness of the existing joint decision framework. |
European Union | SRB | Public Consultation on Operational Resolvability Testing for Banks | The Single Resolution Board (SRB) has opened a public consultation on its Operational Guidance on Resolvability Testing for Banks, aiming to strengthen banks’ preparedness for crisis scenarios and enhance the effectiveness of resolution strategies. Running until 5 May 2025, the consultation encourages feedback from banks, industry stakeholders, and the public. The draft guidance sets out a structured framework for regular, multi-annual testing of resolution capabilities, integrating lessons from past crises and best practices. It focuses on critical testing areas such as bail-in execution, liquidity, operational continuity, and business reorganisation. The initiative supports the SRB’s risk-based resolution planning and aligns with the broader SRM Vision 2028 strategy. The final guidance and a summary of feedback will be published later in 2025. | |
Global | UNEPFI | The United Nations Environment Programme Finance Initiative (UNEP FI) has published an updated edition of its Impact Protocol for banks. The revised guidance incorporates outcomes from the 2024 Principles for Responsible Banking (PRB) Framework Review and provides enhanced clarity on integrating the PRB Implementation Journey and Progress Statement into impact analysis. The Protocol outlines a five-step methodology—scoping, impact identification, performance measurement, target setting, and monitoring—helping banks align their portfolios with sustainability goals such as the SDGs and the Paris Agreement. It emphasizes a holistic approach to impact management, covering environmental, social, and socio-economic impacts across banking activities. The 2025 update also strengthens guidance on stakeholder engagement, governance, and client-centric action plans, positioning the Protocol as a key tool for responsible banking practices globally. | ||
United Kingdom | BOE | Consultation on Recognised Exchanges Policy and Transfer of Main Indices | The Prudential Regulation Authority (PRA) has published a Consultation Paper CP3/25 proposing a new policy framework for recognising investment exchanges under the UK Capital Requirements Regulation (CRR). The paper outlines conditions for an exchange to qualify as a ‘recognised exchange’ (RE) based on exchange structure and asset liquidity, impacting eligibility for credit risk mitigation and capital treatment. It also proposes transferring the list of ‘main indices’ used in risk frameworks into the PRA Rulebook to enhance transparency, without making policy changes. These reforms follow HM Treasury’s November 2024 amendments to the CRR, giving the PRA rulemaking authority over RE criteria. By broadening RE eligibility, aligning with international standards, and enabling more risk-sensitive capital treatment, the proposal aims to strengthen prudential oversight while supporting UK financial sector competitiveness. The consultation runs until 18 June 2025. | |
Insurance | Romania | ASF Romania | Quarterly Fee for Auto Liability Insurance Distribution in Q1 2025 suspended | Romania’s Financial Supervisory Authority (ASF) has issued a draft regulation suspending the application of the fee outlined in point 3 of Annex 2 to ASF Regulation No. 16/2014, which governs the Authority’s revenues. Specifically, for the first quarter of 2025, primary insurance intermediaries are exempt from paying the operational/distribution activity fee for contracts related to mandatory motor third-party liability insurance (RCA) and carrier liability insurance. This temporary relief follows the government’s decision to extend the applicability of capped RCA premium tariffs under Government Decision No. 1326/2023, further prolonged by Decision No. 1667/2024. Reporting obligations remain in force, and intermediaries must continue submitting quarterly data on distributed premiums and income for insurance class 10, in line with ASF Norm No. 22/2021. |
Investment | Belgium | FSMA | Implementation of Updated ESMA Stress Test Guidelines for Money Market Funds | On 18 March 2025, Belgium’s Financial Services and Markets Authority (FSMA) issued Communication FSMA_2025_04, confirming its adoption of the revised European Securities and Markets Authority (ESMA) guidelines on stress test scenarios under the EU Money Market Funds (MMF) Regulation (EU) 2017/1131. These updated guidelines, published by ESMA on 24 February 2025, refine the specifications and calibration of stress test types, ensuring a harmonised, consistent, and effective supervisory approach across the EU. The FSMA has announced that it will integrate these guidelines into its supervisory framework once they come into force. The stress test scenarios consider factors such as liquidity changes, credit and rating events, interest rate and FX shifts, redemption levels, index spreads, and macroeconomic shocks. The FSMA’s adoption underlines its commitment to regulatory consistency and robust risk management in the MMF sector. |
European Union | ESMA | The European Securities and Markets Authority (ESMA) and the Bank of England has signed a revised Memorandum of Understanding (MoU) governing cooperation and information exchange regarding UK-based central counterparties (CCPs) — ICE Clear Europe Ltd, LCH Ltd, and LME Clear Ltd — recognised under the European Market Infrastructure Regulation (EMIR). This revised MoU reflects updates introduced by EMIR 3, particularly concerning oversight of systemically important third-country CCPs (Tier 2 TC-CCPs). It ensures continued regulatory alignment and robust supervisory cooperation, supporting the safe and resilient functioning of cross-border clearing activities. This development follows the European Commission’s extension of equivalence for UK CCPs through 30 June 2028, along with ESMA’s extension of their tiering and recognition determinations. | ||
France | AMF | Euronext Paris Rule Changes to Accommodate SIX x-clear as New CCP | On 18 March 2025, the French Financial Markets Authority (AMF) approved modifications to the harmonised market rules (Book I) of Euronext Paris to enable access for SIX x-clear AG as a recognised central counterparty (CCP). These rule amendments follow a formal request from Euronext Paris dated 20 February 2025 and are part of efforts to expand clearing options on regulated markets operated by Euronext. The changes will take effect on a date determined by Euronext Paris and will be published on the AMF’s website. The inclusion of SIX x-clear—already recognised by ESMA as a third-country CCP—aims to enhance post-trade infrastructure competitiveness and resilience within the EU’s capital markets. | |
United States | SEC | The U.S. Securities and Exchange Commission (SEC) and Commodity Futures Trading Commission (CFTC) have jointly adopted technical amendments to Form PF, the confidential reporting form used by certain investment advisers to private funds. The final rule corrects errors in cross-references, terminology, and formatting introduced in the February 2024 amendments, and reintegrates revisions related to liquidity fund reporting from the SEC’s 2023 money market fund reforms. Key corrections include updates to instructions, question numbers, and glossary definitions (e.g., “collateral posted entries,” “net asset value”), as well as clarifications regarding reporting obligations for related persons and portfolio exposures. These adjustments aim to enhance consistency, reduce compliance ambiguity, and ensure accurate systemic risk data collection without imposing new substantive reporting requirements. The updated compliance deadline for the amended Form PF is 12 June 2025. |
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