EU removes South Africa from high-risk countries list, recognising anti-money laundering progress
South Africa has been removed from the European Union’s list of high-risk countries
Image: Karen Sandison/Independent Newspapers
South Africa has been removed from the European Union’s list of high-risk countries, a move that recognises the country’s progress in strengthening its anti-money laundering and counter-terrorism financing systems.
The country had been placed on the list since August 2023, following concerns over gaps in its financial crime prevention measures.
The EU decision comes after South Africa was removed from the FATF greylist and the UK’s high-risk countries list. This decision, effective from 29 January 2026, is expected to facilitate international transactions and investments, although challenges remain in the financial crime prevention landscape.
National Treasury welcomed the move, saying it acknowledges South Africa’s efforts to strengthen its anti-money laundering and counter-terrorism financing systems.
However, Treasury added that removal from these lists does not mean all challenges in South Africa’s anti-money laundering and counter-terrorism financing systems have been resolved.
"National Treasury notes that removal from the FATF and EU lists of high-risk jurisdictions does not mean that all South Africa’s challenges in implementing its AML/CFT system have been resolved and recognises that much work still needs to be done to strengthen deficiencies in the prevention, identification, investigation and prosecution of money laundering and terrorism financing.
"South Africa will be entering a new round of evaluation by FATF in the coming months, with a final report scheduled to be presented to the FATF plenary in October 2027. Preparation has begun in earnest, incorporating the lessons learnt and experience gained during the process to exit FATF greylisting."
mthobisi.nozulela@iol.co.za
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