Singapore recorded a 579% increase in fines for breaches of AML and CFT rules last year, underscoring a marked shift in regulatory scrutiny following a major money laundering scandal that exposed weaknesses across parts of the financial system.
According to FinTech News Singapore, the sharp rise comes despite a broader global slowdown in enforcement values. New research from RegTech firm Fenergo shows that worldwide penalties for breaches of AML, know your customer, sanctions and customer due diligence requirements fell by 18% in 2025 to $3.8bn.
This compares with $4.6bn in 2024 and a peak of $6.6bn in 2023, suggesting regulators are becoming more targeted in how they deploy enforcement action rather than easing oversight altogether.
While global figures declined, enforcement activity varied significantly by region. North American regulators reduced the total value of fines by 58%, reflecting fewer blockbuster penalties during the year. In contrast, Europe, the Middle East and Africa saw penalties surge by 767%, driven by the conclusion of long-running investigations and a renewed willingness to impose large sanctions for historical compliance failures.
Asia-Pacific also recorded an increase in fines, up 44%, as authorities across the region stepped up oversight in specific high-risk sectors. In Singapore, this translated into a particularly sharp escalation in enforcement, as regulators moved to restore confidence in the country’s financial controls and reputation as a global wealth hub.
According to Fenergo, the Monetary Authority of Singapore (MAS) has intensified its focus on private banking and cross-border wealth flows, areas highlighted by the high-profile laundering case. “In Singapore, enforcement action has intensified following a major money laundering scandal.
In response, the Monetary Authority of Singapore (MAS) has tightened its focus on private banking and cross-border wealth flows, with a clear aim of positioning the city-state as a global leader in source of wealth (SOW) and source of funds (SOF) enforcement,” said Rory Doyle, head of financial crime policy at Fenergo.
Globally, the largest individual penalty issued in 2025 was a €835m fine, equivalent to around $985m, imposed by French authorities on a Swiss bank for AML failures. That single action helped make France the second-largest enforcer by total fine value, behind the United States.
The report also highlighted the continued regulatory pressure facing digital asset firms. Crypto and digital asset businesses were overrepresented among the largest penalties, accounting for nearly a quarter of the top ten fines worldwide. Fenergo said rapid growth in transaction volumes and stablecoin usage has continued to outpace compliance maturity in parts of the sector, prompting regulators to demand controls that more closely resemble those applied to traditional banks.
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