New AML/CFT Requirements for Cooperative Financial Services: A Plain-Language Guide

Regulatory Intelligence

New AML/CFT Requirements — Plain Language Guide

Updated Anti-Money Laundering and Counter-Financing of Terrorism (AML/CFT) requirements now apply to cooperative financial services. Here's what cooperatives need to know — explained simply.

Who Is Affected?

Any cooperative that provides financial services — savings, loans, payments (including Co-op Pay), or remittances — must comply.

What Must You Do?

1. Know Your Member (KYM) — verify identity of every member using financial services using national ID or passport
2. Report suspicious transactions — any unusual or large transaction must be flagged to your compliance officer
3. Keep records — retain transaction records for at least 5 years
4. Appoint a compliance officer — every cooperative offering financial services must designate someone responsible
5. Train your team — staff and committee members must receive annual AML/CFT training

What This Means in Practice

If your cooperative uses Co-op Pay, much of the KYM is already handled at wallet activation. But your cooperative is still responsible for:

• Monitoring unusual patterns in member transactions
• Reporting to the Financial Intelligence Unit where required
• Ensuring your committee understands the obligations

Timeline

Compliance is required by 30 September 2026. Cooperatives that fail to comply risk suspension of financial services and potential penalties.

Need Help?

The ICM offers a 2-day AML/CFT compliance workshop. Contact your CDEx relationship manager for details.