Nigeria Removed from EU Money Laundering Watch List

Nigeria just got a financial credibility boost that could unlock billions in trade and investment with Europe.

The European Union removed Nigeria from its list of high-risk countries for money laundering and terrorism financing, effective January 29, 2026. The decision follows successful reforms that convinced the Financial Action Task Force, a global financial watchdog, that Nigeria had fixed critical weaknesses in its financial oversight system.

Nigeria was placed on the FATF "grey list" in February 2023, a designation that made doing business harder and more expensive. Banks and companies in Europe had to perform extra checks on Nigerian transactions, which slowed down deals and drove up costs for everyone involved.

But Nigerian authorities got to work. The country strengthened its financial intelligence unit, improved how different agencies share information about suspicious transactions, and passed new laws to close loopholes that criminals could exploit.

The hard work paid off. Nigeria exited the FATF grey list in October 2025, and now the EU has followed suit by removing the country from its own high-risk roster.

Five other African nations also graduated from the list: Burkina Faso, Mali, Mozambique, South Africa and Tanzania. All six countries demonstrated they could effectively track suspicious money and stop criminals from using their banking systems.

The Ripple Effect

The delisting means Nigerian businesses no longer face automatic extra scrutiny when working with European partners. Banks won't need senior management approval for routine Nigerian transactions, and they can process payments faster with less paperwork.

For everyday Nigerians, this translates to smoother money transfers, easier access to European markets for exporters, and potentially lower costs for international transactions. European investors will also find it simpler to do business in Nigeria, which could bring new jobs and partnerships.

Hafsat Bakari, head of Nigeria's Financial Intelligence Unit, called it "an important external validation" of the country's reforms. She emphasized that the real work was a team effort involving lawmakers, law enforcement, banks, courts and private sector partners all rowing in the same direction.

Finance Minister Doris Anite celebrated on social media, highlighting how the achievement boosts investor confidence. In a global economy where reputation matters, being removed from financial watch lists sends a powerful signal that Nigeria is serious about playing by international rules.

The improvements go beyond just getting off a list. Nigeria now has stronger systems to catch criminals trying to launder money or fund terrorism, which protects ordinary citizens and makes the entire financial system more trustworthy.

Nigerian officials say the goal now is to keep improving, not rest on this achievement. Financial crimes constantly evolve, so the country's defenses need to stay sharp and adapt to new threats.

For a nation of over 200 million people working to strengthen ties with global partners, this win opens doors that were previously harder to walk through.