The Financial Action Task Force (FATF) is expected to announce its decision on whether to remove South Africa from its “grey list” in the coming hours, with the final plenary session concluding today, October 24, 2025. The decision hinges on whether the FATF is satisfied that South Africa has successfully implemented its action plan.
The table below summarizes the key information about the upcoming decision.
Aspect Details
Event FATF October 2025 Plenary Meeting
Dates October 20–24, 2025 (Plenary on October 22–24)
Decision Expected On or after October 24, 2025
South Africa’s Status Completed all 22 action items from its agreed plan as of June 2025. An on-site assessment in July 2025 verified progress.
Likely Outcome Cautious optimism for delisting, based on substantial progress and positive assessments.
🔍 Understanding the FATF’s Scrutiny
The FATF, a global financial watchdog, placed South Africa on its “grey list” (officially “Jurisdictions under Increased Monitoring”) in February 2023 due to strategic deficiencies in its anti-money laundering and counter-terrorist financing systems. This decision was largely attributed to the weakened state of the country’s institutions following a period of “state capture”.
To get off the list, South Africa committed to and has since completed a 22-point action plan. Key achievements that have led to the current optimism for delisting include:
Legal and Regulatory Reforms: Passing key legislation, such as the Anti-Money Laundering and Combating Terrorism Financing Amendment Bill, to strengthen the financial framework.
Law Enforcement Actions: Demonstrating a sustained increase in the investigation and prosecution of serious and complex money laundering cases.
Improved Financial Controls: Enhancing systems for beneficial ownership transparency and targeted financial sanctions.
💡 What a Decision Means for South Africa
A removal from the grey list is expected to be a significant positive signal to international markets and investors.
Potential benefits include:
Reduced Transaction Costs: Lower international wire transfer fees and faster processing times for cross-border payments.
Lower Cost of Capital: More affordable trade finance and improved access to international bond markets.
Increased Investment: Renewed foreign direct investment and portfolio inflows as perceived institutional risk decreases.
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