EU Removes Nigeria from High-Risk Financial List

*As NFIU attributes feat to collective reforms

Alex Enumah in Abuja

The European Union has officially removed Nigeria from its list of high-risk third countries under the EU Anti-Money Laundering and Countering the Financing of Terrorism (AML/CFT) framework.

The removal was contained in the European Commission Delegated Regulation (EU) C (2025) 8460, adopted on December 4, 2025, in line with updates by the Financial Action Task Force (FATF) from its October 2025 Plenary.

According to a statement by the Nigeria Financial Intelligence Unit (NFIU), the regulation, which takes effect from 29 January 2026, also confirms the removal of Burkina Faso, Mali, Mozambique, South Africa and Tanzania from the EU high-risk list, following their successful exit from the FATF list of Jurisdictions under Increased Monitoring after addressing identified strategic AML/CFT deficiencies.

“The European Commission acknowledged that Nigeria and the other delisted countries have strengthened the effectiveness of their AML/CFT regimes, closed key technical and operational gaps and fulfilled the commitments set out in their FATF Action Plans, leading to their removal from the FATF grey list in June and October 2025.

“Nigeria’s removal from the EU list reflects the strong political will and leadership of President Bola Ahmed Tinubu, GCFR, whose administration prioritised financial system integrity, inter-agency coordination and compliance with international standards.

“The achievement is also the result of sustained collaboration among key stakeholders, including the National Assembly, law enforcement agencies, regulators, supervisors, the judiciary, the private sector and development partners”, the statement read in part.

Reacting to the development, the Chief Executive Officer of the Nigerian Financial Intelligence Unit (NFIU), Hafsat Abubakar Bakari, described the decision as a significant affirmation of Nigeria’s collective reform efforts.

“This decision represents an important external validation of Nigeria’s steady progress in strengthening its AML/CFT/CPF framework. It demonstrates that consistent reforms, effective coordination and strong national ownership can translate into tangible international outcomes,” the CEO said.

Nigeria’s removal from the EU high-risk list means that financial transactions between Nigeria and the European Union will no longer be subject to enhanced due diligence requirements associated with high-risk jurisdictions.

This is expected to ease compliance burdens, support smoother cross-border financial flows, and enhance Nigeria’s attractiveness for trade, investment and financial partnerships with EU Member States.

In an increasingly competitive global trade environment, the delisting further strengthens Nigeria’s positioning as a reliable economic partner, reinforcing Europe’s role as a key destination for Nigerian exports and a source of investment and financial services.

Commenting on the broader significance of the development, the NFIU CEO noted that, “Beyond the immediate economic benefits, this outcome strengthens international confidence in Nigeria’s financial system and underscores our standing as a cooperative and responsible participant in the global financial architecture.”

The CEO highlighted the role of the NFIU in coordinating national AML/CFT/CPF efforts, enhancing the quality and use of financial intelligence, and supporting supervisory, investigative and prosecutorial authorities across the country.

“This achievement is the product of collective national effort. While we welcome this progress, it also places a clear responsibility on all stakeholders to sustain momentum, guard against complacency and continue strengthening our systems in response to evolving financial crime risks,” she added.

The NFIU reaffirmed its commitment to continuous engagement with the FATF, GIABA, the European Union and other international partners, and to working closely with domestic stakeholders to ensure that Nigeria not only maintains compliance, but continues to deepen the effectiveness and resilience of its AML/CFT/CPF framework.

The Nigerian Financial Intelligence Unit (NFIU) is Nigeria’s national centre for the receipt, analysis and dissemination of financial intelligence related to money laundering, terrorist financing and related predicate offences. The NFIU is a member of the Egmont Group of Financial Intelligence Units and works closely with domestic and international partners to safeguard the integrity of Nigeria’s financial system.