The European Union has formally eliminated Nigeria from its checklist of high-risk jurisdictions for cash laundering and terrorism financing, alongside South Africa and 4 different African international locations.
That is in keeping with an announcement revealed on the European Fee’s web site.
The transfer follows Nigeria’s profitable removing from the Monetary Motion Job Power (FATF) greylist in 2025 and is predicted to ease cross-border transactions, cut back compliance prices, and enhance investor confidence.
Beneath the brand new resolution, enhanced due diligence necessities utilized to transactions involving Nigeria and different delisted international locations will likely be lifted from January 29, 2026, topic to procedural approval by the European Parliament and the Council.
What the EU is saying
In keeping with the European Fee, the replace displays selections taken by the FATF at its June and October 2025 plenaries, the place a number of international locations have been faraway from the checklist of “Jurisdictions beneath Elevated Monitoring,” generally known as the greylist.
“The EU has added new third-country jurisdictions to the checklist (Bolivia and the British Virgin Islands) and delisted quite a lot of others (Burkina Faso, Mali, Mozambique, Nigeria, South Africa and Tanzania),” it acknowledged.
- EU entities coated by the bloc’s anti-money laundering (AML) framework are required to use enhanced vigilance when coping with international locations on the checklist.
- With Nigeria’s removing, such heightened scrutiny will not apply to Nigerian-related transactions inside the EU as soon as the regulation enters into drive.
Nigerian authorities reacts
Whereas the Presidency has but to concern an official assertion, the Minister of State for Finance, Dr. Doris Uzoka-Anite, in a put up on X described the event as a giant win for Nigeria.
“Huge win for Nigeria! Faraway from EU’s monetary ‘high-risk’
“Congrats to President @officialABAT on this achievement. As Minister of State for Finance, I’m happy with this enhance to commerce and investor confidence,” she posted.
Why this issues
Nigeria’s removing from the EU high-risk checklist has important financial and monetary implications. Being categorised as a high-risk jurisdiction usually results in larger transaction prices, delayed funds, restricted correspondent banking relationships, and lowered international funding.
- With enhanced due diligence necessities lifted, Nigerian banks, exporters, fintechs, and companies working with European companions are anticipated to face fewer compliance hurdles.
- This might enhance commerce flows, ease remittances, and help capital inflows at a time when Nigeria is in search of to draw international funding and deepen integration into international monetary markets.
- The choice additionally reinforces Nigeria’s credibility in ongoing efforts to reform its monetary system and fight illicit monetary flows.
What it’s best to know
Nigeria was faraway from the FATF greylist in October final 12 months after implementing a collection of reforms geared toward strengthening its anti-money laundering and counter-terrorism financing (AML/CFT) regime.
The nation was faraway from the checklist alongside South Africa, Burkina Faso, and Mozambique after their governments stepped up efforts to fight cash laundering and terrorist financing.
South Africa and Nigeria have been added to the gray checklist in February 2023, whereas Mozambique was added in October 2022, and Burkina Faso was initially designated in February 2021.
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