In late October 2025, the Financial Action Task Force (FATF) officially removed Nigeria and South Africa from its “grey list” of countries under increased scrutiny for risks in money laundering and terrorist financing. The move also included Mozambique and Burkina Faso, all of which had been placed on the list between 2021 and 2023 due to identified deficiencies in their financial integrity systems.

The delisting acknowledges that both Nigeria and South Africa have made “significant progress” in strengthening regulatory frameworks, improving inter-agency coordination, and enhancing oversight of financial institutions. The decision is expected to boost foreign investor confidence, ease cross-border transactions, and reduce the premium costs associated with dealing in markets seen as higher risk.

While this is a positive development, analysts caution that the delisting is not the end point. Sustaining these reforms will require vigilance, ongoing institutional capacity building, transparency, and enforcement to prevent regression. The countries remain under monitoring to ensure continued compliance.