In a major boost for Nigeria’s financial sector, the Financial Action Task Force (FATF) has officially removed the country from its list of jurisdictions under increased monitoring, commonly referred to as the “grey list.” The announcement came at the FATF October 2025 Plenary in Paris, France.

Nigeria had been placed on the grey list in February 2023 following the identification of strategic deficiencies in its anti-money laundering and counter-terrorism financing (AML/CFT) framework. Over the past two years, the Federal Government, in collaboration with the FATF and the Inter-Governmental Action Group Against Money Laundering in West Africa, implemented a 19-point action plan to address these gaps.

Key reforms cited by the FATF include the enactment and enforcement of the Money Laundering (Prevention and Prohibition) Act, 2022, and the Terrorism (Prevention and Prohibition) Act, 2022. Other achievements include the operationalisation of the Beneficial Ownership Register, improved supervision of designated non-financial businesses and professions, and strengthened intelligence and law enforcement capacity.

Speaking on Friday, Hafsat Bakari, Director/CEO of the Nigerian Financial Intelligence Unit (NFIU), said, “This milestone marks a historic moment in Nigeria’s fight against serious financial crimes. Nigeria has demonstrated sustained commitment to financial transparency and integrity.”

She further noted that a high-level Nigerian delegation, including the Attorney-General, the Ministers of Finance and Interior, and the Director of the NFIU, represented the country at the plenary. Bakari commended President Bola Tinubu for his leadership and lauded government institutions, the National Assembly, judiciary, and private sector partners for their contributions to achieving the milestone.

“The delisting underscores Nigeria’s determination to meet global standards in combating money laundering, terrorist financing, and proliferation financing,” Bakari said, urging stakeholders to maintain the reform momentum to ensure continued compliance.

Besides Nigeria, Burkina Faso, Mozambique, and South Africa were also removed from the FATF grey list at the plenary.