Nigeria Exits Global Financial Crime Watchlist After Nearly Three Years
*FATF also delists South Africa, Mozambique, Burkina Faso
Nigeria, Africa’s most populous nation, has been removed from the global financial watchdog’s list of countries subject to increased monitoring for illicit money flows after nearly three years.
The Paris-based Financial Action Task Force (FATF) announced the decision at the end of its plenary meeting on Friday, confirming the removal of Nigeria, South Africa, Mozambique, and Burkina Faso from its so-called “grey list.”
The FATF is the world’s leading intergovernmental body responsible for setting global standards to combat money laundering, terrorist financing, and proliferation financing.
Nigeria was first placed under increased monitoring in February 2023, following concerns over gaps in its anti-money laundering and counter-terrorism financing frameworks.
The move came three months after the country’s President Bola Tinubu began implementing sweeping economic reforms, including the removal of petrol subsidies and the unification of the exchange rate, as part of efforts to stabilise the economy and strengthen regulatory oversight.
Africa’s biggest economy South Africa, which joined the grey list in 2023, and Mozambique, listed in 2022, were also removed following progress in strengthening their financial monitoring systems. Burkina Faso, added in 2021, was similarly delisted.
According to the FATF, Nigeria’s removal reflects stronger inter-agency coordination in tackling illicit financial flows, while South Africa improved its mechanisms for detecting money laundering and terrorist financing. Mozambique enhanced financial intelligence sharing, and Burkina Faso tightened oversight of financial institutions and other gatekeepers.
“With each plenary, we seek to make the world’s defences against criminals stronger,” said Elisa de Anda Madrazo, FATF during the press conference. “This plenary has been a very positive one — a positive story for the continent of Africa.”
In a statement on Friday, Tinubu welcomed the decision, describing it as “a major milestone in Nigeria’s journey towards economic reform, institutional integrity, and global credibility.”
