Latest news with #Greylist
IOL News
05-05-2025
- Business
- IOL News
SA losing billions to illegal tobacco and alcohol trade
According to the South Africa Illicit Economy 2.0 Report, South Africa's economy continues to be threatened by illegal trade, specifically in sectors such as alcohol, tobacco, food items, pharmaceuticals, agri-chemicals, counterfeiting, mining, and wildlife trafficking. Image: Pixabay This is according to the South Africa Illicit Economy 2.0 Report, launched by the Transnational Alliance to Combat Illicit Trade (TRACIT) in conjunction with Business Unity South Africa. 'Illicit trade continues to pose a serious threat to South Africa's economic stability, governance, and international standing,' the report said. This comes at a time when the country is endeavouring to get itself removed from the Greylist of undesirable investment destinations. South Africa was grey listed by the Financial Action Task Force (FATF) in February 2023 for not complying with international standards that relate to money laundering and addressing illicit financial flows. In February, National Treasury said the country had, or mostly, resolved 20 out of the 22 items flagged by the FATF as requiring action. The two remaining items are expected to be addressed in the reporting period from March to June this year, it said. South Africa intends to address both outstanding action items by June 2025 to enable an exit from grey listing by October 2025. Among the aspects that still need to be resolved is demonstrating a 'sustained increase in investigations and prosecutions of serious and complex money laundering, in particular involving professional money laundering networks/enablers and third-party money launderers in line with its risk profile'. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Next Stay Close ✕ Ad Loading TRACIT's report stated, 'South Africa's continued placement on the FATF grey list underscores persistent shortcomings in anti-money laundering and counter-terrorism financing frameworks'. It noted that there are systemic gaps in oversight, regulation, and inter-agency coordination in areas such as supply chain intermediaries, criminal enablers, and illicit trade.
eNCA
22-04-2025
- Business
- eNCA
Poor money laundering controls keep SA on greylist
JOHANNESBURG - South Africa is inching close to satisfying the demands made by the Financial Action Task Force (FATF) as conditions to be removed from the Greylist. In 2023, the FATF gave South Africa 22 action items that they felt needed to be fixed. This to deal with concerns that the country didn't have sufficient strategies to stop money laundering, combat funding and facilitation of funding to terror and other tools to fight illegal or suspicious transactions. But according to Frank Leonette, the CEO of Glorep only two items remain on that list though. He says the first being the country must show some sort of sustained efforts to investigate money laundering, funding of terrosim and state capture as well as prosecute. He says the country needs to prove that it can do so on a continuous basis and to make sure that the country's business sector follow suit and are on board with the initiative of the FATF.
