On 25th October 2024, the Financial Action Task Force (FATF) published its updated Grey List, identifying countries with strategic deficiencies in their anti-money laundering (AML) and counter-terrorist financing (CTF) frameworks. This update is significant for businesses that operate in or transact with countries on the Grey List, as it may lead to increased scrutiny, compliance costs, and potential financial risks.
What is the FATF Grey List?
The Grey List, also known as the list of jurisdictions under increased monitoring, is a tool used by the FATF to highlight countries that have weaknesses in their AML/CTF systems. While these countries are not as high-risk as those on the FATF Black List, they are still subject to increased scrutiny and must work with the FATF to address these deficiencies.
Countries Added to the FATF Grey List (October 2024):
- Algeria
- Angola
- Côte d’Ivoire
- Lebanon
These countries have been identified for needing improvement in areas like transparency, financial sanctions, and AML compliance
Full Current List of Countries on the FATF Grey List (as of October 2024):
- Algeria
- Angola
- Bulgaria
- Burkina Faso
- Cameroon
- Côte d’Ivoire
- Croatia
- Democratic Republic of the Congo
- Haiti
- Kenya
- Lebanon
- Mali
- Monaco
- Mozambique
- Namibia
- Nigeria
- Philippines
- Senegal
- South Africa
- South Sudan
- Syria
- Tanzania
- Venezuela
- Vietnam
- Yemen
Countries Removed from the Grey List in 2024:
- Jamaica
- Türkiye
These nations made significant strides in strengthening their AML/CTF regimes, resulting in their removal from the list
What Does This Mean for Your Business?
Being associated with a grey-listed country can have far-reaching effects on businesses:
- Stricter Scrutiny: Financial institutions may apply additional due diligence to transactions involving these countries, leading to delays and increased compliance costs.
- Challenges with International Investments: Businesses operating in grey-listed countries may face reduced investor confidence, making it difficult to secure funding or international partnerships.
- Heightened Compliance Requirements: Companies must ensure they adhere to stricter AML/CTF regulations, which could include enhanced due diligence and continuous monitoring.
How NAM Accountants Can Help
At NAM Accountants, we understand the challenges that businesses face when navigating the complexities of international financial regulations. Our team is here to help you remain compliant and minimize the risks associated with transactions in grey-listed jurisdictions. We offer services such as:
- Enhanced AML Compliance: Ensuring your business meets FATF standards and local regulations.
- Due Diligence Support: Assisting with the thorough review of transactions and business dealings to mitigate potential risks.
- Advisory on Global Transactions: Helping you navigate international financial relationships in grey-listed countries.
Contact NAM Accountants Today
Whether you’re looking to safeguard your business or explore international opportunities, NAM Accountants is your trusted partner in financial success. Let us help you navigate the complexities of global compliance and achieve your business goals with confidence.
