FATF removes South Africa Nigeria Mozambique Burkina Faso from grey list amid AML/CFT reforms

Countries removed: South Africa, Nigeria, Mozambique, Burkina Faso. This quartet had been under FATF grey-list oversight since 2021–2023, reflecting concerns about AML/CFT gaps, supervision, and enforcement capacity.
Rationale: FATF cited “significant progress” in strengthening frameworks, with on-site visits confirming improvements across risk-based supervision, financial intelligence sharing, and measures to prevent illicit financial flows.
Timing: The delisting was confirmed during the FATF plenary in Paris, following reviews of each country’s action plans and milestones, and alignment with FATF’s delisting criteria.

Country-by-country highlights

South Africa: The country strengthened its tools for detecting money laundering and terrorist financing, increased the effectiveness of financial sector supervision, and improved inter-agency coordination for AML/CFT efforts. Reforms included enhanced information-sharing and more robust enforcement against illicit financial activity.
Nigeria: Nigeria implemented a 19-point action plan focusing on inter-agency coordination, regulatory oversight, and strengthening the financial intelligence unit. These steps were aimed at reducing gaps in enforcement and improving oversight of financial institutions and gatekeepers.
Mozambique: Improvements centered on strengthening financial intelligence sharing and oversight of financial institutions and designated non-financial businesses and professionals (DNFBPs). The country also expanded oversight mechanisms to monitor money flows more effectively.
Burkina Faso: While previously under scrutiny for governance and compliance gaps, Burkina Faso made targeted reforms to bolster oversight of AML/CFT regimes and implement action items related to risk-based supervision and reporting mechanisms.

Investor confidence: The delisting generally signals enhanced credibility for the affected economies, potentially reducing perceived AML/CFT risk and lowering some capital-raising frictions for banks and corporates operating in or with these jurisdictions.
Compliance landscape: Banks and financial institutions in Africa often adjust to FATF expectations by investing in KYC/CDD processes, sanctions screening, and real-time transaction monitoring. Delisting can ease some compliance costs and reporting burdens as formal risk ratings improve.
Policy trajectory: While the delisting marks a milestone, FATF-style scrutiny persists. Ongoing reforms, external audits, and transparent enforcement actions will continue to shape the long-term AML/CFT posture of these countries.

FATF leadership framed the move as a positive development for Africa, noting that improvements had been made within agreed timelines and underscoring the importance of sustained reforms to maintain score improvements.
National authorities issued statements celebrating the delisting as a milestone for governance, economic reform, and global credibility. Public remarks highlighted the multi-agency cooperation and technical assistance that accompanied progress on the action plans.

Monitoring and next steps: FATF typically maintains a period of ongoing supervision even after delisting to ensure reforms are durable. Countries may still be subject to periodic assessments and future reviews if new deficiencies emerge.
Regional implications: The October 2025 delisting could influence neighboring jurisdictions to accelerate their own AML/CFT reforms, particularly in inter-agency coordination, financial intelligence sharing, and supervision of DNFBPs and gatekeepers.
Global context: The delisting aligns with broader global efforts to enhance AML/CFT regimes in major economies and to encourage investment while maintaining rigorous safeguards against money laundering and financing of terrorism.

FATF grey list: A list of countries with strategic deficiencies in AML/CFT systems that require intensified monitoring; removal from the grey list indicates substantial progress but does not equate to a full endorsement of perfect compliance.
On-site visits and action plans: Delistings were contingent on positive outcomes from FATF on-site assessments and the completion of agreed corrective actions within specified timelines (the exact actions varied by country but typically covered supervision, enforcement, and information-sharing enhancements).

Neutral framing: The development represents a procedural milestone rather than a definitive judgment on current risk, emphasizing process improvements, governance enhancements, and ongoing reforms.
SEO angles: Keywords to emphasize include FATF delisting, AML/CFT reforms, grey list removal, Africa AML compliance, inter-agency coordination, financial intelligence unit enhancements, and regional stability.

Verify FATF press release: For precise language and official timelines, reference the FATF plenary communications and country-specific delisting notes.
Cross-check national authorities: Obtain statements from the finance ministry, central bank, and the respective financial intelligence units to illustrate domestic perspectives.
Track follow-up reports: Plan to monitor FATF reviews in 12–24 months to confirm the durability of reforms and to capture any new developments in AML/CFT enforcement in the four countries.