South Africa, Nigeria, Mozambique, and Burkina Faso have been removed from the Financial Action Task Force (FATF) grey list, marking a significant milestone in their financial reform journeys.
The FATF announced the decision on Friday, commending the four nations for substantial progress in strengthening systems to combat money laundering and terrorist financing.
The removal means the countries are no longer classified under “Jurisdictions under Increased Monitoring,” a designation that often hinders international investment and credit confidence.
South Africa and Nigeria had joined the list in February 2023, Mozambique in October 2022, and Burkina Faso in February 2021, following identified shortcomings in anti-money laundering and counterterrorism financing frameworks.
According to FATF, the countries have since implemented robust measures and demonstrated sustained political commitment to align with global financial standards.
The announcement had immediate economic reverberations, with the South African rand and Nigerian naira strengthening against major currencies after the decision.
Observers say the development underscores Africa’s growing engagement with global financial governance and signals confidence in its regulatory institutions.
The FATF General Assembly, held under the Organization for Economic Cooperation and Development (OECD) in Paris from Oct. 20 to 24, formally endorsed the decision.
By stepping off the grey list, these nations not only improve their international standing but also open the door to greater investor trust and economic opportunity.