We welcome the decision by the Financial Action Task Force (FATF) to remove South Africa from the list of jurisdictions under increased monitoring, also known as the “grey list”.
The FATF announced this decision on Friday, 24 October, at the conclusion of its plenary held from 20 to 24 October 2025. This announcement came 32 months after our country was placed on the grey list in February 2023.
A collaborative effort in fighting against financial crime
South Africa’s removal from the grey list followed a concerted and proactive effort by many role players. Together, we tackled the deficiencies identified in the 2019 mutual evaluation and addressed the action items set during the increased monitoring process. This milestone marks the end of a difficult yet vital chapter in strengthening South Africa’s regime to combat money laundering, terrorism financing and the financing of weapons of mass destruction.
We commend the collective efforts by partners in government, the private sector and civil society who joined in our fight against financial crime. This achievement does not signal the end of our work. Instead, it lays the foundation for the next phase as we reflect on valuable lessons from this experience.
Strengthening assessments in risk profiles
Our team played a significant role in this process across several key areas. One critical contribution involved building our capability to supervise compliance with the Financial Intelligence Centre Act (FIC Act) by designated non-financial businesses and professions (DNFBPs). We focused on a risk-based approach to this supervision.
To achieve this, we developed and implemented tools to gather risk-related information and analyse data submitted by institutions. DNFBPs and other entities completed risk and compliance return questionnaires, which provided the information needed to assess their risk profiles. This mechanism strengthened our risk-based supervision approach. It also represented a key reform for South Africa during the grey listing process.
We acknowledge and extend our gratitude to the industries and sectors that stood behind this cause. Their contribution was crucial to the broader fight against financial crime.
Working with law enforcement partners
Another important part of our work was expanding collaboration with law enforcement partners. These engagements led to a rise in requests and use of financial intelligence in investigations and prosecutions related to money laundering and terrorist financing. We made full use of our powers to obtain additional information from reporting entities. 
This helped us trace criminal proceeds and follow the money trail effectively.
Exiting the grey list is only half the battle won. We must continue the work with renewed commitment. We remain dedicated to enhancing our capabilities and strengthening our contribution to the ongoing fight against financial crime.
Looking ahead, South Africa has already begun preparing for the fifth round of mutual evaluations, scheduled to take place between 2026 and 2027.
Pieter Smit | Acting Director | Financial Intelligence Centre (FIC) | mail me |
