On the 24th of February 2023, FATF issued an updated list of jurisdictions under increased monitoring. The updated list includes Nigeria and South Africa to the jurisdictions subject to increased monitoring, and it also removed Cambodia and Morocco from the jurisdictions subject to increased monitoring.
Cambodia has strengthened the effectiveness of its AML/CFT regime to meet the commitments in its action plan regarding the strategic deficiencies that the FATF identified in February 2019.
Cambodia implemented improvements in the legal framework for international cooperation and preventive measures, risk-based supervision of FIs and DNFBPs, improving the quality and quantity of FIU disseminations, increasing and improving investigation and prosecution of ML and asset confiscation and establishing and implementing a legal framework for PF TFS.
Morocco strengthened the effectiveness of its AML/CFT regime to meet the commitments in its action plan regarding the strategic deficiencies that the FATF identified in February 2021.
Morocco implemented improvements in its international cooperation mechanisms, strengthening AML/CFT supervision, strengthening transparency of legal persons by ensuring timely access to accurate beneficial ownership information, strengthening the capacities of the FIU, enhancing capacities to conduct ML investigation and confiscate the proceeds of crime and improving effectiveness of the targeted financial sanctions regime.
In February 2023, Nigeria made a high-level political commitment to work with the FATF and GIABA to strengthen the effectiveness of its AML/CFT regime.
Since the adoption of its MER in August 2021, Nigeria has made progress on some of the MER’s recommended actions to improve its system including by improving its AML/CFT legislative framework, updating its assessment of inherent ML/TF/PF risks and strengthened its implementation of targeted financial sanctions. Nigeria will work to implement its FATF action plan and until then it will be placed under increased monitoring.
South Africa has made significant progress on many of the MER’s recommended actions to improve its system including by developing national AML/CFT policies to address higher risks and newly amending the legal framework for TF and TFS, among others.
South Africa also made a high-level political commitment to work with the FATF and ESAAMLG to strengthen the effectiveness of its AML/CFT regime but until improvements and changes are implemented it will remain under an increased monitoring status.
List of Jurisdictions under Increased Monitoring or subject to a Call for Action by FATF
- Burkina Faso
- Cayman Islands
- Democratic People’s Republic of Korea (DPRK)
- Democratic Republic of the Congo
- South Africa
- South Soudan
- United Arab Emirates