A recent Financial Action Task Force (FATF) report found significant weaknesses in parts of South Africa’s financial regulations. The weaknesses increase the risks of money laundering and terrorism funding the report found.
Should the country be ‘greylisted’ the negative impact could be seen in declines in GDP and difficulties with imports and exports as additional compliance steps would be required of business partners.
The international watchdog gave the government until October this year to show a viable plan to address the weaknesses in its current financial regulations.
In July the National Treasury indicated that it was confident it would have the weaknesses addressed before the end of the year.
To read more about this subject visit BusinessTech: “Worries over South Africa being ‘greylisted’ – here’s what it could mean for you”.
