South Africa is unlikely to exit the Financial Action Task Force’s (FATF) greylist by June 2025, with October presenting a more realistic target if progress continues steadily. Despite notable advancements in addressing key issues, challenges remain in areas such as identifying beneficial ownership information and prosecuting complex financial crimes. Experts stress that a timely exit is crucial to restoring investor confidence, as compliance concerns have already affected foreign direct investment.
Independent Economic Analyst, Professor Bonke Dumisa, shared his perspective: “There is a likelihood that we can actually make it in June 2025. However, we should be more realistic, and many of us agree that we will make it off the list by October 2025. I am so hopeful. When we consider when we were greylisted, for some of us, it came as a surprise on the 24th of February 2023. That’s nearly two years ago. The government went out of its way. I know because I attended some of these sessions where these issues were discussed, and input was given.”
Dumisa highlighted the FATF’s action plan, which outlined 22 measures for South Africa to address in combating money laundering (AML) and the financing of terrorism (CFT). He noted significant progress, saying, “It is heartening that when South Africa agreed to those 22 items, some doubted if the country could really deal with all of them. Yet, by the end of this year, at least 16 of the 22 items have been addressed or largely addressed.”
The remaining six items are expected to be tackled by February 2025. However, Dumisa emphasized, “Many of us believe this can only be successfully addressed by June 2025.” With continued effort, October 2025 appears a more achievable timeline for a greylist exit.
Listen to the full interview below:
VOC News
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