Abuja: The Central Bank of Nigeria (CBN) has welcomed the Financial Action Task Force’s (FATF) formal removal of Nigeria from the list of jurisdictions under increased monitoring, known as the ‘grey list’. Mrs. Hakama Sidi-Ali, CBN’s Acting Director of Corporate Communications, made this announcement in a statement on Saturday.
According to News Agency of Nigeria, the grey list refers to the list of countries under increased monitoring by FATF, which is an international body that sets standards to combat money laundering, terrorist, and proliferation financing. Nigeria was initially included on this list in February 2023 due to strategic deficiencies in its systems for combating these financial crimes.
The CBN spokesperson noted that the FATF decision recognized significant improvements in Nigeria’s regulatory, supervisory, and enforcement frameworks, particularly in addressing money laundering, terrorist, and proliferation financing. This development marks an important milestone in Nigeria’s ongoing efforts to fortify financial system integrity, transparency, and international confidence.
“The FATF’s decision follows a two-year reform programme coordinated by the Federal Government, involving multiple agencies such as the CBN, the Federal Ministry of Justice, the Nigerian Financial Intelligence Unit (NFIU), and the Economic and Financial Crimes Commission (EFCC),” Sidi-Ali stated.
She elaborated on CBN’s contributions, which focused on enhancing supervision, governance, and transparency across the financial system. FATF and the Inter-Governmental Action Group Against Money Laundering in West Africa (GIABA), FATF’s regional assessment body, evaluated key reforms before reaching their decision.
The spokesperson detailed the reforms, highlighting strengthened oversight of financial institutions through updated Anti-Money Laundering (AML) and Combating the Financing of Terrorism (CFT) regulations, risk-based supervision, and fit-and-proper assessments. These improvements extended to compliance reporting and monitoring across remittance channels, bureau de change, and fintech platforms to boost traceability and transparency.
Additionally, Sidi-Ali noted enhanced inter-agency data-sharing and enforcement coordination between the CBN, NFIU, EFCC, and law-enforcement bodies. The reforms also included implementing market governance tools, such as the Foreign Exchange Code (FX Code) and Electronic Foreign Exchange Matching System (EFEMS).
“Together, these measures have materially strengthened Nigeria’s compliance with global standards and reinforced confidence in the integrity of its financial system. Nigeria’s removal from the grey list will yield tangible benefits for businesses and households, including lowering compliance costs, improving access to international finance, and making cross-border transactions faster and more affordable,” she said.
These advancements are expected to result in smoother trade settlements, quicker remittance inflows, and more predictable access to foreign exchange, thereby enhancing livelihoods, supporting enterprise growth, and deepening financial inclusion.
Sidi-Ali concluded by saying that the FATF decision bolsters the broader restoration of global confidence in Nigeria’s economic management. Recent international assessments underscore this momentum, with Moody’s and Fitch upgrading Nigeria’s ratings outlook due to stronger external conditions.