South Africa's progress in strengthening measures to tackle money laundering and terrorist financing

Publication details

Language

English

Country

South Africa

Follow-Up Report South Africa - 2023

Filename
South-Africa-FUR-2023.pdf
Size
3 MB
Format
application/pdf
Download

28 November 2023 - Overall, South Africa has made progress in addressing most of the technical compliance deficiencies identified in its Mutual Evaluation. The country has been upgraded on the following Recommendations:

  • Recommendations 5 and 23 have been upgraded from Partially Compliant to Compliant 
  • Recommendations 1, 7, 10, 14, 18, 22, 24, 25, 26, 27 and 28 have been upgraded from Partially Compliant to Largely Compliant
  • Recommendation 12 is upgraded from Non Compliant to Largely Compliant
  • Recommendation 17 from Non Compliant to Not Applicable
  • Recommendations 6, 8 and 15 have been upgraded from Non Compliant to Partially Compliant

South Africa has five Recommendations rated Compliant and 29 rated Largely Compliant. Five Recommendations remain Partially Compliant.

The country remains in enhanced follow up and will report back to the FATF on progress achieved in improving the implementation of its AML/CFT measures in October 2024.

Technical Compliance

Ratings which reflect the extent to which a country has implemented the technical requirements of the FATF Recommendations.

South Africa Follow-Up Report - 2023

R.1 - Assessing risk & applying risk-based approach
LC
R.2 - National cooperation and coordination
PC
R.3 - Money laundering offence
LC
R.4 - Confiscation and provisional measures
LC
R.5 - Terrorist financing offence
C
R.6 - Targeted financial sanctions related to terrorism & terrorist financing
PC
R.7 - Targeted financial sanctions related to proliferation
LC
R.8 - Non-profit organisations
PC
R.9 - Financial institution secrecy laws
LC
R.10 - Customer due diligence
LC
R.11 - Record keeping
LC
R.12 - Politically exposed persons
LC
R.13 - Correspondent banking
LC
R.14 - Money or value transfer services
LC
R.15 - New technologies
PC
R.16 - Wire transfers
LC
R.17 - Reliance on third parties
N/A
R.18 - Internal controls and foreign branches and subsidiaries
LC
R.19 - Higher-risk countries
LC
R.20 - Reporting of suspicious transactions
LC
R.21 - Tipping-off and confidentiality
C
R.22 - DNFBPs: Customer due diligence
LC
R.23 - DNFBPs: Other measures
C
R.24 - Transparency and beneficial ownership of legal persons
LC
R.25 - Transparency and beneficial ownership of legal arrangements
LC
R.26 - Regulation and supervision of financial institutions
LC
R.27 - Powers of supervisors
LC
R.28 - Regulation and supervision of DNFBPs
LC
R.29 - Financial intelligence units
LC
R.30 - Responsibilities of law enforcement and investigative authorities
C
R.31 - Powers of law enforcement and investigative authorities
C
R.32 - Cash couriers
PC
R.33 - Statistics
LC
R.34 - Guidance and feedback
LC
R.35- Sanctions
LC
R.36 - International instruments
LC
R.37 - Mutual legal assistance
LC
R.38 - Mutual legal assistance: freezing and confiscation
LC
R.39 - Extradition
LC
R.40 - Other forms of international cooperation
LC

Recommendation 17 is rated NA.

C = compliant   |   LC = largely compliant     |   PC = partially compliant   |   NC = non-compliant

Related materials

South Africa's measures to combat money laundering and terrorist financing

7 Oct 2021

South Africa's measures to combat money laundering and terrorist financing are delivering results
Read more

Related material

The FATF Recommendations

The FATF Recommendations are the basis on which all countries should meet the shared objective of tackling money laundering, terrorist financing and the financing of proliferation. The FATF calls upon all countries to effectively implement these measures in their national systems.
Read more

Mutual Evaluations

The FATF conducts peer reviews of each member on an ongoing basis to assess levels of implementation of the FATF Recommendations, providing an in-depth description and analysis of each country’s system for preventing criminal abuse of the financial system
Read more Consolidated assessment ratings
ESAAMLG Logo

FATF Methodology for assessing compliance with the FATF Recommendations and the effectiveness of AML/CFT systems

The FATF Methodology for assessing compliance with the FATF Recommendations and the effectiveness of AML/CFT systems sets out the evaluation process.
Read more