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”.
By Kadiri Abdulrahman
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, Corporate Communications, said this in a statement on Saturday in Abuja.
Sidi-Ali said that the removal followed a successful on-site evaluation of reforms implemented across the financial system.
The News Agency of Nigeria (NAN) reports that the grey list refers to the list of countries under increased monitoring by FATF.
It is an international body that sets standards to combat money laundering, terrorist, and proliferation financing (financing of weapons of mass destruction.
Nigeria was included on the FATF grey list in February 2023, citing strategic deficiencies in the country’s systems for combating money laundering, terrorist, and proliferation financing.
According to the CBN spokesperson, FATF decision recognised significant improvements in Nigeria’s regulatory, supervisory and enforcement frameworks, particularly in combating money laundering, terrorist,
and proliferation financing.
She said that It marked an important milestone in the country’s continuing efforts to strengthen 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.
“These include the CBN, the Federal Ministry of Justice, the Nigerian Financial Intelligence Unit (NFIU) and the Economic and Financial Crimes Commission (EFCC),” she said.
Sidi-Ali said that the CBN’s contribution centred on enhancing supervision, governance and transparency
across the financial system.
She said FATF and the Inter-Governmental Action Group Against Money Laundering in West Africa (GIABA, FATF’s regional assessment body, assessed key reforms before taking the decision.
The spokesperson listed the reforms to include 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.
“They also included expansion of compliance reporting and monitoring across remittance channels,
bureau de change, and fintech platforms to improve traceability and transparency.
“There was also the enhanced inter-agency data-sharing and enforcement coordination between the CBN,
NFIU, EFCC, and law-enforcement bodies,” she said.
She said that the reforms also included the implementation of market governance tools, including the Foreign Exchange Code, (FX Code) and Electronic Foreign Exchange Matching System (EFEMS).