EUROPEAN UNION
By Tosin Ogunrinde
The European Union (EU) has removed Nigeria and five other African countries from its High-Risk Financial List, effective January 29, 2026. This decision reflects the significant progress these countries have made in strengthening their anti-money laundering (AML) and counter-terrorism financing (CFT) frameworks, aligning with international standards set by the Financial Action Task Force (FATF) .
Nigeria’s removal from the list is particularly notable, as it was added in 2023 due to concerns over its AML/CFT measures. The country has since implemented comprehensive reforms, including the enactment of the Money Laundering (Prevention and Prohibition) Act 2022 and the Terrorism (Prevention and Prohibition) Act 2022. These efforts have improved Nigeria’s technical compliance scores and demonstrated its commitment to addressing strategic deficiencies.
The delisting is expected to have a positive impact on Nigeria’s economy, enhancing investor confidence and reducing transaction costs. With easier access to European markets, businesses and financial institutions will benefit from smoother transactions and improved trade finance opportunities .
Minister of State for Finance, Dr. Doris Uzoka-Anite, hailed the development as a significant boost to investor confidence, stating that it will enhance trade and economic engagement with Europe. The removal from the high-risk list is also seen as a testament to President Bola Tinubu’s administration’s commitment to economic reforms and transparency.
The EU’s decision applies to five other African countries as well: South Africa, Burkina Faso, Mali, Mozambique, and Tanzania. These countries have also made significant progress in addressing AML/CFT deficiencies, and their removal from the list is expected to improve their financial credibility and access to global finance.
This development marks a significant milestone for Africa, demonstrating the continent’s commitment to financial integrity and transparency. As Nigeria and the other delisted countries continue to strengthen their AML/CFT frameworks, they are likely to attract more foreign investment and improve their economic prospects.
