The European Union has officially removed Nigeria from its list of high-risk jurisdictions for money laundering and terrorism financing, a move expected to ease cross-border transactions and strengthen investor confidence.
The update, published on the European Commission’s website, follows Nigeria’s removal from the Financial Action Task Force (FATF) greylist in 2025 after the country implemented a series of anti-money laundering and counter-terrorism financing reforms.
Under the new decision, enhanced due diligence requirements applied to transactions involving Nigeria will be lifted from January 29, 2026, subject to procedural approval by the European Parliament and the Council of the European Union.
Explaining the decision, the European Commission said the update reflects outcomes of the FATF’s June and October 2025 plenaries, during which several countries were removed from the list of jurisdictions under increased monitoring.
“The EU has added new third-country jurisdictions to the list (Bolivia and the British Virgin Islands) and delisted a number of others (Burkina Faso, Mali, Mozambique, Nigeria, South Africa and Tanzania),” the Commission stated.
It added that entities covered by the EU’s anti-money laundering framework are required to apply enhanced vigilance when dealing with countries on the high-risk list, noting that Nigeria’s removal means such heightened scrutiny will no longer apply to Nigerian-related transactions within the bloc once the regulation takes effect.
Reacting to the development, the Minister of State for Finance, Dr Doris Uzoka-Anite, described it as a major win for the country.
In a post on X on Thursday, she said, “Big win for Nigeria! Removed from the EU’s financial ‘high-risk’.” She congratulated President Bola Tinubu on the achievement, describing it as a boost to trade and investor confidence.
Similarly, the Coordinating Minister of the Economy and Minister of Finance, Mr Wale Edun, said Nigeria’s exit from the EU high-risk third-country list sends a strong signal to global investors.
“Exiting the EU high-risk list is a landmark achievement for Nigeria. It shows that Nigeria is committed to maintaining a stable, credible, and transparent business environment,” Edun said on Thursday in Lagos at the NESG 2026 Macroeconomic Outlook Presentation.
Nigeria’s delisting is expected to have significant economic and financial implications. Countries classified as high-risk typically face higher transaction costs, delayed payments, tighter correspondent banking relationships, and reduced foreign investment.
With the lifting of enhanced due diligence requirements, Nigerian banks, exporters, fintech companies, and other businesses transacting with European partners are expected to face fewer compliance hurdles. This could improve trade flows, ease remittances, and support capital inflows.
The development also reinforces Nigeria’s credibility as it continues efforts to reform its financial system and curb illicit financial flows, at a time when the government is seeking to attract foreign investment and deepen integration into global financial markets.
Nigeria was removed from the FATF greylist in October 2025 after strengthening its anti-money laundering and counter-terrorism financing framework. The country was delisted alongside South Africa, Burkina Faso, and Mozambique, all of which had intensified efforts to combat money laundering and terrorism financing.
