South Africa faces new greylist test

• South Africa is at risk of being placed back on the Financial Action Task Force's grey list due to concerns over its effectiveness in preventing money laundering and terrorism financing.
• The country was removed from the grey list in October 2025, but the FATF's latest investigation, which will run until October 2027, has raised concerns that South Africa may not have made sufficient progress in addressing its weaknesses.
• If South Africa is placed back on the grey list, it could lead to a decrease in foreign investment, increased restrictions on cross-border transactions, and a weakening of the rand, negatively impacting the country's economy and job creation.