A conflict of interest is a circumstance in which personal or financial interests interfere with the objective and impartial performance of AML responsibilities. It can lead to biased decision-making or actions that jeopardise the effectiveness of anti-money laundering measures, regulatory compliance, and ethical standards inside financial institutions and regulatory agencies. Identifying and managing conflicts of interest is critical to maintaining the integrity and credibility of anti-money laundering initiatives and protecting the financial system from illicit activity.