South Africa Has Been Greylisted by Financial Watchdog FATF, Mzansi Says: “That Was Imminent”

• Financial Action Task Force (FATF) has greylisted South Africa due to its shortcomings in tackling illegal financial moves
• The decision did not come as a surprise as Finance Minister Enoch Godongwana warned citizens about the possibility
• South African citizens were left fuming following the announcement, with many blaming the ANC

JOHANNESBURG - Intergovernmental body Financial Action Task Force (FATF) has greylisted South Africa, signalling more financial woes for citizens.

The Paris-based agency announced its decision on Friday, 24 February. South Africa was greylisted among other countries due to its shortcomings in tackling illicit financial moves.

The FATF will put more emphasis on monitoring South Africa while it attempts to resolve its “identified strategic deficiencies” within an agreed-upon time frame. According to BusinessTech, since FATF made the announcement, the rand dropped by as much as 1.2% against the dollar.

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However, the greylist status did not come as a surprise. While delivering the budget speech, Finance Minister Enoch Godongwana warned citizens to prepare for the possibility of the listing.

The minister said South Africa will work swiftly and effectively to address the deficiencies and strengthen the effectiveness of its anti-money laundering and counter-terrorist financing regime. He said Cabinet has committed to actively working with the FATF.

Godongwana added government understands that addressing the watchdog’s action items would be in the interest of the country, News24 reported.

Citizens outraged and fearful over South Africa’s greylisting

@yes_i_am_dura said:

“Bound to happen, the country is on autopilot.”

@Blessy2ltai commented:

“That was imminent, it was about time.”

@AhEbMa_Waa posted:

“This is really just one more thing the ANC has failed at and one more way in which they are destroying our country.”

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Finance Minister Enoch Godongwana discusses possible basic income grant: “Nothing falls free from the sky”

Briefly News also reported that Finance Minister Enoch Godongwana explained that the proposed implementation of a basic income grant comes with additional issues.

He was speaking at a media briefing ahead of the 2023/24 budget speech in Parliament on Wednesday, 22 February and warned that introducing a new grant would mean increased taxes.

Godongwana said taxes would not be increased during this year’s budget, but next year may be different.

Source: Briefly News