Nigeria has achieved a significant milestone by being removed from the European Union's list of high-risk countries for money laundering and terrorist financing. This decision marks a major boost to the nation's financial credibility on the international stage.
The announcement was made via a press release from the Nigerian Financial Intelligence Unit (NFIU) on January 15, 2025, signaling a new chapter for Nigeria's financial system. As stipulated in Delegated Regulation (EU) C (2025) 8460, adopted on December 4, 2025, Nigeria's delisting is effective as of January 29, 2026.
This commendable feat also includes the removal of other nations such as Burkina Faso, Mali, Mozambique, South Africa, and Tanzania from the EU high-risk category. The European Commission noted that these countries successfully addressed deficiencies in their anti-money laundering (AML) and combatting the financing of terrorism (CFT) systems.
Nigeria's victory follows its exit from the Financial Action Task Force (FATF) grey list in 2025. This removal is attributed to comprehensive legal, regulatory, and operational reforms undertaken by the country.
Key stakeholders laud this success to the political commitment demonstrated by President Bola Ahmed Tinubu, GCFR. His leadership has been pivotal in enhancing collaboration among various sectors, including the National Assembly, law enforcement agencies, regulators, and the judiciary.
Hafsat Abubakar Bakari, the CEO of the NFIU, stated that the EU's decision serves as an external validation of Nigeria's reform efforts. She emphasized that this recognition signals the country’s ongoing progress in strengthening its AML/CFT framework.
Furthermore, Bakari explained that Nigeria's removal from the EU high-risk list will effectively eliminate enhanced due diligence requirements for transactions involving EU financial institutions. This is expected to ease compliance costs significantly.
Improved trade and investment flows between Nigeria and European countries are anticipated as a direct result of this development. The ease of doing business is set to enhance the country's economic landscape.
Beyond the immediate economic benefits, Bakari highlighted that this outcome strengthens international confidence in Nigeria's financial system. It paints a more optimistic picture of Nigeria’s potential in the global market.
However, Bakari urged caution, warning against complacency. She acknowledged that ongoing vigilance is necessary to combat evolving financial crime risks. Sustaining these gains requires continued commitment and hard work from all stakeholders.
The NFIU will remain at the forefront of coordinating national AML and CFT efforts. Bakari reaffirmed the agency's commitment to working alongside FATF, GIABA, the EU, and domestic stakeholders to further safeguard Nigeria’s financial system.
In summary, Nigeria's removal from the EU high-risk list represents more than just a regulatory win; it symbolizes the nation's dedication to reform and progress. As Nigeria strides into this promising future, the focus remains on vigilance and collaboration to uphold the integrity of its financial systems.
