The Nation Newspaper

Tag: Financial Action Task Force (FATF)

  • Nigeria halfway through exiting FATF grey list

    Nigeria halfway through exiting FATF grey list

    The Financial Action Task Force (FATF) has acknowledged Nigeria’s progress in its anti-money laundering and counter-terrorist financing (AML/CFT) measures during the recent October Plenary Meeting held on Friday.

     This recognition comes as Nigeria has nearly fulfilled half of the criteria outlined in its Action Plan aimed at exiting the notorious grey list that has shadowed its financial reputation since February 2023.

     Exiting the grey list will ease diaspora remittances by making it cheaper for Nigerians outside the country to send money back home among other benefits.

     The FATF, the international watchdog for financial crime, has approved Nigeria’s fourth progress report since it was placed under increased monitoring due to identified deficiencies in its AML/CFT systems. This status has historically impacted the nation’s global financial interactions, making it essential for Nigeria to address these challenges effectively and expeditiously.

    Read Also; FULL LIST: 22 sacked, suspended Ministers in Nigeria from 1999 – 2024

     The findings detailed in the report reflect a positive turnaround in Nigeria’s approach to combating serious crimes such as money laundering and terrorism financing. Notably, the country has established robust systems for international cooperation to facilitate asset recovery; enhanced national coordination focused on counter-terrorism operations, and implemented effective measures to prevent the exploitation of the non-profit sector for terrorist financing purposes.

     These developments mark a watershed moment in Nigeria’s commitment to aligning with global standards as delineated by the FATF, particularly in light of the critical observations raised in the country’s 2021 AML/CFT Mutual Evaluation Report.

     Mrs. Hafsat Abubakar Bakari, Chief Executive Officer of the Nigerian Financial Intelligence Unit (NFIU), expressed her pride in Nigeria’s accomplishments while attending the Plenary in Paris. “Through the concerted efforts of all public and private sector stakeholders who are involved in Nigeria’s systems to ensure the integrity of the financial system, we have been able to complete almost half of the items that were included in the country’s Action Plan to exit the grey list,” she stated.

     Moreover, Mrs. Bakari emphasized confidence in the continued momentum under the leadership of President Bola Ahmed Tinubu and the collaborative efforts of key personnel including members of the Federal Executive Council and the Inter-Ministerial Committee on AML/CFT, chaired by the Attorney-General of the Federation alongside the Ministers of Finance and Interior. She reassured stakeholders that Nigeria is poised to complete all outstanding actions before the impending deadline of May 2025.

     In addition to Nigeria’s progress, other decisions emerged from the FATF’s meeting in Paris. Senegal was removed from the grey list following the successful completion of its own Action Plan. On the other hand, Algeria, Angola, Côte d’Ivoire, and Lebanon have been added to the FATF’s monitoring list, indicating heightened scrutiny of their financial systems.

     The FATF, established in 1995, continues to lead global initiatives against various financial crimes.

  • ‘Summit holds on FATF compliance’

    ‘Summit holds on FATF compliance’

    The Nigerian Capital Market Institute (NCMI), the subsidiary of the Securities and Exchange Commission, is holding a compliance summit for chief executive officers and compliance officers on Financial Action Task Force (FATF) and other related issues.

    The two-day summit with the theme: Navigating regulatory challenges: Aligning with changes in FATF in the era of VASPS is scheduled to start today at the Federal Palace Hotel in Lagos.

    Director General, Securities and Exchange Commission (SEC),  Dr. Emomotimi Agama said the summit will provide capital market operators with the tools and knowledge necessary to thrive in a complex regulatory environment, ultimately fostering a culture of compliance and integrity in their operations.

    “The aim is to equip capital market operators with essential insights and strategies to effectively navigate the evolving regulatory landscape.

    “Attendees are to gain knowledge of Understand Regulatory Changes, clarity on the latest updates to FATF (Financial Action Task Force) standards and how these impact virtual asset service providers (VASPs).And learn best practices for aligning their compliance programs with new regulations, ensuring they meet international standards enhancing compliance frameworks in their organisations,” Agama said.

    Read Also: NDLEA arrests two businessmen, Canada-based nurse at Lagos airport for attempted drug smuggling

    The welcome address is expected to be presented by Ms. Frana Chukwuogor, Executive Commissioner, Legal & Enforcement, SEC, opening remarks and overview of the summit by Dr. Agama while Ms. Hafsat Bakari, Director, Nigeria Fraud Intelligence Unit, NFIU will present a goodwill message.

    According to the commission, key objectives include regulatory compliance: understand and implement Anti-Money Laundering (AML) and Combating the Financing of Terrorism (CFT) regulations, risk management: identify, assess and mitigate risks associated with virtual assets and operational efficiency which will lead to enhanced internal controls, governance and compliance frameworks.

    The benefits of the summit include regulatory clarity: clarifies regulatory expectations and obligations, risk reduction: minimizes risk of non-compliance, fines and reputational damage and enhanced governance: strengthens internal controls and compliance culture.

    Other benefits are competitive advantage: demonstrates commitment to compliance, enhancing reputation and trust and networking opportunities: facilitates collaboration and knowledge sharing among industry stakeholders.

    Speakers expected at the event are Mr. Obinna Iwuno, Chairman, Stakeholders in BlockChain Association of Nigeria (SiBAN) and Certified Cryptocurrency Compliance Specialist & Investigator, Mr Ade Bajomo, the President, Fintech Association in Nigeria, Mr. Peter Shodipo, the President, Committee of Chief Compliance Officers of Capital Market Operators in Nigeria (CCCOCIN), Mr. Ayodele Othihiwa, President, Association of Reporting Accountants and Auditors in the Capital Market (ARAACAM) and Mr. Zacch Adedeji, PhD, Executive Chairman, Federal Inland Revenue Service (FIRS), Nigeria

    Various panels have been lined up to discuss issues like GIABA’s Efforts in Curbing ML/TF in the ECOWAS Region, Understanding the New FATF Standards for VASPs,  Understanding the Evolving Regulatory Environment for Digital Assets and Tax Implications,  and Nigeria’s Status and FATF ICRG Gray Listing Issues.