By John Umeh
Nigeria has been officially removed from the Financial Action Task Force (FATF) “grey list,” marking a major milestone in the nation’s financial reform journey and global reputation for transparency.
The FATF — the world’s leading authority on anti-money laundering (AML) and counter-terrorism financing (CFT) — announced Nigeria’s removal during its October 2025 plenary session in Paris, France. The decision followed Nigeria’s full implementation of a 19-point reform agenda designed to strengthen financial oversight, improve inter-agency collaboration, and close loopholes exploited for illicit financial flows.
President Bola Ahmed Tinubu hailed the development as “a strategic victory for Nigeria’s economy,” emphasizing that it reflects renewed confidence in the country’s governance and financial systems.
“This is not merely a procedural win; it is a resounding global endorsement of Nigeria’s commitment to transparency and fiscal integrity,” Tinubu stated through his Special Adviser on Information and Strategy, Bayo Onanuga.
Nigeria had been placed on the FATF grey list in February 2023 due to deficiencies in enforcing anti-money laundering measures and monitoring suspicious financial activities. Upon assuming office, President Tinubu directed the Nigerian Financial Intelligence Unit (NFIU) to coordinate a national response involving the Ministries of Finance, Justice, and Interior, as well as the Office of the Attorney-General.
Under the leadership of Hafsat Bakari, Director and CEO of the NFIU, Nigeria implemented sweeping legal and institutional reforms — including the Money Laundering (Prevention and Prohibition) Act 2022, the Terrorism (Prevention and Prohibition) Act 2022, and the creation of a Beneficial Ownership Register to ensure accountability in financial transactions.
Bakari praised the FATF’s decision as a reflection of “Nigeria’s resilience, coordination, and unwavering commitment to reform,” adding that the achievement places Nigeria among countries setting a new standard for financial integrity in Africa.
At the same plenary, the FATF also removed South Africa, Mozambique, and Burkina Faso from its watchlist after similar progress in strengthening their financial regulatory frameworks.
Economic analysts say Nigeria’s removal from the list will likely boost foreign investor confidence, facilitate cross-border transactions, and enhance Nigeria’s access to international financial systems.
President Tinubu affirmed his administration’s commitment to sustaining these reforms:
“This achievement marks the beginning of a new chapter for Nigeria’s financial sector. We will continue to build institutions that the world can trust and that Nigerians can be proud of.”
The announcement has been widely welcomed across government, private sector, and international circles as a sign that Nigeria is turning the corner toward financial credibility and global economic competitiveness.
