In September 2010, a Bulletin article set out the Reserve Bank of New Zealand’s role and responsibilities with regard to the Anti-Money Laundering and Countering Financing of Terrorism Act 2009 (“the Act”). It briefly explained the regulatory and supervisory framework established by the Act, discussed the Reserve Bank’s risk-based approach in this context and outlined some of the major areas of work to be undertaken to develop and implement the Reserve Bank’s supervisory framework. This article updates material that has been published since that article and provides further detail on the Reserve Bank’s proposed supervisory approach.