South Africa has officially been removed from the ‘grey list’ of the Financial Action Task Force (FATF), following more than two years of rigorous reform. This follows the successful completion of all 22 action items in the FATF Action Plan adopted by South Africa in February 2023.
South Africa’s National Treasury has hailed the delisting as a collective national effort and a significant milestone that strengthens global confidence in South Africa’s financial integrity, which is likely – in turn – to stimulate foreign investment.
Since its grey listing, South Africa has overhauled its anti-money laundering and counter-terrorism financing regime through far-reaching legislative, institutional and enforcement reforms. This included tightening supervisory and enforcement capacity across key agencies, improving access to beneficial ownership data and enhancing inter-agency coordination and intelligence sharing.
Authorities have also increased the use of financial intelligence to support investigations and convictions. Collectively, these measures reflect a shift from formal compliance to demonstrable effectiveness in detecting, deterring and disrupting financial crime.
Bowmans remains committed to assisting its clients in navigating the evolving FICA landscape, leveraging our extensive legal and regulatory expertise to help organisations strengthen their internal frameworks to meet heightened supervisory expectations and withstand regulatory scrutiny.
For more information, please get in touch with your usual Bowmans contact or a partner in our Financial Services Regulatory Practice.
