Summary
The Financial Intelligence Centre Act, 2001 (Act 38 of 2001) empowers the FIC to apply measures designed to identify the proceeds of crime, combat money laundering, terrorist financing and financing of the proliferation of weapons of mass destruction.
View DetailsIs it working?
The recent upgrades from the FATF suggest that South Africa’s investments in the FIC’s capacity and operations are proving effective. The FIC’s role in increasing STRs and supporting successful law enforcement actions indicates that it is becoming more proactive in identifying and addressing financial crime risks. However, sustained effectiveness will require the FIC to demonstrate a continuous increase in the volume and quality of intelligence it generates, as well as its capacity to support complex investigations and prosecutions. The FATF’s emphasis on improved intelligence sharing and STRs means that the FIC must also prioritise quick, accurate reporting and responsive coordination with domestic and international agencies, particularly leading into the next evaluation in February 2025.
Actions
The FIC has been tasked with improving the quality and timeliness of suspicious transaction reports (STRs) and expanding its analytical capabilities to support complex money laundering and terror financing investigations. The FIC is working closely with law enforcement and supervisory bodies to facilitate the exchange of intelligence and enhance coordination in AML/CFT investigations. This includes sharing actionable intelligence on financial crime trends, high-risk sectors and entities involved in suspicious activities. As part of its mandate, the FIC is also advancing its engagement in international information sharing networks, ensuring South Africa meets the FATF’s expectations on global cooperation in intelligence sharing.
Are there plans?
In the domestic environment, the FIC co-operates with various government departments and entities with which it is mandated to share information, in terms of section 40 of the FIC Act. These mandated institutions include government investigating authorities, intelligence services, investigative divisions in organs of state and any other entities or authorities stipulated. Non-mandated institutions are those that may request information from the FIC but are not under legal obligation to receive it. Furthermore, the FIC leads initiatives based on public-public collaboration and public-private partnerships, geared to forge beneficial relationships between multi-disciplinary role players and optimising the use of financial intelligence. These collaborations and partnerships foster timeous sharing of financial and other information to expedite the prevention, detection, investigation and resolution of financial crimes; such collaborations also occur with international partners. Ultimately, the objective is to improve the safeguarding of the financial system through the effective use of financial intelligence produced by the FIC.
Is it on the agenda?
The FIC functions include: to receive regulatory reports and transaction and other data from accountable institutions and other businesses; interpret and analyse the data received; produce financial intelligence from this data for the use of competent authorities in their investigations, prosecutions and applications for asset forfeiture; produce forensic evidence based on the flow of financial transactions; exchange information with bodies that have similar objectives in other countries regarding the combating of money laundering, terrorist financing and proliferation financing, and other similar activities; and facilitate effective supervision and enforcement by supervisory bodies.
Goals
The Financial Intelligence Centre (FIC) was established to identify the proceeds of crime, combat money laundering, and terror financing; supervise and enforce compliance with the FIC Act; share information with law enforcement authorities, supervisory bodies, intelligence services, the South African Revenue Service, and other local and international agencies; facilitate effective supervision and enforcement by supervisory bodies; formulate and lead the implementation of policy regarding money laundering and the financing of terrorism; provide policy advice to the Minister of Finance; and uphold the international obligations and commitments required by the country in respect of anti-money laundering and combating financing of terrorism (AML/CFT).
Departments / Govt Institutions
Summary
The Financial Intelligence Centre Act, 2001 (Act 38 of 2001) empowers the FIC to apply measures designed to identify the proceeds of crime, combat money laundering, terrorist financing and financing of the proliferation of weapons of mass destruction. The FIC functions include: to receive regulatory reports and transaction and other data from accountable institutions and other businesses; interpret and analyse the data received; produce financial intelligence from this data for the use of competent authorities in their investigations, prosecutions and applications for asset forfeiture; produce forensic evidence based on the flow of financial transactions; exchange information with bodies that have similar objectives in other countries regarding the combating of money laundering, terrorist financing and proliferation financing, and other similar activities; and facilitate effective supervision and enforcement by supervisory bodies. COMPLETE: We stopped tracking this specific reform at end-June 2025 as it is complete and in effect.
View DetailsIs it working?
The recent upgrades from the FATF suggest that South Africa’s investments in the FIC’s capacity and operations are proving effective. The FIC’s role in increasing suspicious transaction reports (STRs) and supporting successful law enforcement actions indicates that it is becoming more proactive in identifying and addressing financial crime risks. This was achieved in February 2025 with FIC intelligence being actively used as more STRs are being used in investigations.
Actions
The FIC has been tasked with improving the quality and timeliness of suspicious transaction reports (STRs) and expanding its analytical capabilities to support complex money laundering and terror financing investigations. The FIC is working closely with law enforcement and supervisory bodies to facilitate the exchange of intelligence and enhance coordination in AML/CFT investigations. This includes sharing actionable intelligence on financial crime trends, high-risk sectors and entities involved in suspicious activities. As part of its mandate, the FIC is also advancing its engagement in international information sharing networks, ensuring South Africa meets the FATF’s expectations on global cooperation in intelligence sharing.
Are there plans?
In the domestic environment, the FIC co-operates with various government departments and entities with which it is mandated to share information, in terms of section 40 of the FIC Act. These mandated institutions include government investigating authorities, intelligence services, investigative divisions in organs of state and any other entities or authorities stipulated. Non-mandated institutions are those that may request information from the FIC but are not under legal obligation to receive it. Furthermore, the FIC leads initiatives based on public-public collaboration and public-private partnerships, geared to forge beneficial relationships between multi-disciplinary role players and optimising the use of financial intelligence. These collaborations and partnerships foster timeous sharing of financial and other information to expedite the prevention, detection, investigation and resolution of financial crimes; such collaborations also occur with international partners. Ultimately, the objective is to improve the safeguarding of the financial system through the effective use of financial intelligence produced by the FIC.
Is it on the agenda?
Part the the required FATF reforms; this is complete.
Goals
The Financial Intelligence Centre (FIC) was established to identify the proceeds of crime, combat money laundering, and terror financing; supervise and enforce compliance with the FIC Act; share information with law enforcement authorities, supervisory bodies, intelligence services, the South African Revenue Service and other local and international agencies; facilitate effective supervision and enforcement by supervisory bodies; formulate and lead the implementation of policy regarding money laundering and the financing of terrorism; provide policy advice to the minister of finance; and uphold the international obligations and commitments required by the country in respect of anti-money laundering and combating financing of terrorism (AML/CFT).
Departments / Govt Institutions
Summary
The Financial Intelligence Centre Act, 2001 (Act 38 of 2001) empowers the FIC to apply measures designed to identify the proceeds of crime, combat money laundering, terrorist financing and financing of the proliferation of weapons of mass destruction. The FIC functions include: to receive regulatory reports and transaction and other data from accountable institutions and other businesses; interpret and analyse the data received; produce financial intelligence from this data for the use of competent authorities in their investigations, prosecutions and applications for asset forfeiture; produce forensic evidence based on the flow of financial transactions; exchange information with bodies that have similar objectives in other countries regarding the combating of money laundering, terrorist financing and proliferation financing, and other similar activities; and facilitate effective supervision and enforcement by supervisory bodies. COMPLETE: We stopped tracking this specific reform at end-June 2025 as it is complete and in effect.
View DetailsIs it working?
The recent upgrades from the FATF suggest that South Africa’s investments in the FIC’s capacity and operations are proving effective. The FIC’s role in increasing suspicious transaction reports (STRs) and supporting successful law enforcement actions indicates that it is becoming more proactive in identifying and addressing financial crime risks. This was achieved in February 2025 with FIC intelligence being actively used as more STRs are being used in investigations.
Actions
The FIC has been tasked with improving the quality and timeliness of suspicious transaction reports (STRs) and expanding its analytical capabilities to support complex money laundering and terror financing investigations. The FIC is working closely with law enforcement and supervisory bodies to facilitate the exchange of intelligence and enhance coordination in AML/CFT investigations. This includes sharing actionable intelligence on financial crime trends, high-risk sectors and entities involved in suspicious activities. As part of its mandate, the FIC is also advancing its engagement in international information sharing networks, ensuring South Africa meets the FATF’s expectations on global cooperation in intelligence sharing.
Are there plans?
In the domestic environment, the FIC co-operates with various government departments and entities with which it is mandated to share information, in terms of section 40 of the FIC Act. These mandated institutions include government investigating authorities, intelligence services, investigative divisions in organs of state and any other entities or authorities stipulated. Non-mandated institutions are those that may request information from the FIC but are not under legal obligation to receive it. Furthermore, the FIC leads initiatives based on public-public collaboration and public-private partnerships, geared to forge beneficial relationships between multi-disciplinary role players and optimising the use of financial intelligence. These collaborations and partnerships foster timeous sharing of financial and other information to expedite the prevention, detection, investigation and resolution of financial crimes; such collaborations also occur with international partners. Ultimately, the objective is to improve the safeguarding of the financial system through the effective use of financial intelligence produced by the FIC.
Is it on the agenda?
Part the the required FATF reforms; this is complete.
Goals
The Financial Intelligence Centre (FIC) was established to identify the proceeds of crime, combat money laundering, and terror financing; supervise and enforce compliance with the FIC Act; share information with law enforcement authorities, supervisory bodies, intelligence services, the South African Revenue Service and other local and international agencies; facilitate effective supervision and enforcement by supervisory bodies; formulate and lead the implementation of policy regarding money laundering and the financing of terrorism; provide policy advice to the minister of finance; and uphold the international obligations and commitments required by the country in respect of anti-money laundering and combating financing of terrorism (AML/CFT).
Departments / Govt Institutions
Summary
The Financial Intelligence Centre Act, 2001 (Act 38 of 2001) empowers the FIC to apply measures designed to identify the proceeds of crime, combat money laundering, terrorist financing and financing of the proliferation of weapons of mass destruction.
View DetailsIs it working?
Given that public comments still have to be considered on the draft amendment, there most likely will be more time before amendments are implemented.
Actions
On 10 April 2024, government invited the public to comment on draft amendments to the ML/TF control regulations regarding the reporting of conveyance of cash or bearer negotiable instruments in or out of SA.
Are there plans?
In the domestic environment, the FIC co-operates with various government departments and entities with which it is mandated to share information, in terms of section 40 of the FIC Act. These mandated institutions include government investigating authorities, intelligence services, investigative divisions in organs of state and any other entities or authorities stipulated. Non-mandated institutions are those that may request information from the FIC but are not under legal obligation to receive it. Furthermore, the FIC leads initiatives based on public-public collaboration and public-private partnerships, geared to forge beneficial relationships between multi-disciplinary role players and optimising the use of financial intelligence. These collaborations and partnerships foster timeous sharing of financial and other information to expedite the prevention, detection, investigation and resolution of financial crimes; such collaborations also occur with international partners. Ultimately, the objective is to improve the safeguarding of the financial system through the effective use of financial intelligence produced by the FIC.
Is it on the agenda?
The FIC functions include: to receive regulatory reports and transaction and other data from accountable institutions and other businesses; interpret and analyse the data received; produce financial intelligence from this data for the use of competent authorities in their investigations, prosecutions and applications for asset forfeiture; produce forensic evidence based on the flow of financial transactions; exchange information with bodies that have similar objectives in other countries regarding the combating of money laundering, terrorist financing and proliferation financing, and other similar activities; and facilitate effective supervision and enforcement by supervisory bodies.
Goals
The Financial Intelligence Centre (FIC) was established to identify the proceeds of crime, combat money laundering, and terror financing; supervise and enforce compliance with the FIC Act; share information with law enforcement authorities, supervisory bodies, intelligence services, the South African Revenue Service, and other local and international agencies; facilitate effective supervision and enforcement by supervisory bodies; formulate and lead the implementation of policy regarding money laundering and the financing of terrorism; provide policy advice to the Minister of Finance; and uphold the international obligations and commitments required by the country in respect of anti-money laundering and combating financing of terrorism (AML/CFT).
Departments / Govt Institutions
Summary
The Financial Intelligence Centre Act, 2001 (Act 38 of 2001) empowers the FIC to apply measures designed to identify the proceeds of crime, combat money laundering, terrorist financing and financing of the proliferation of weapons of mass destruction.
View DetailsIs it working?
Given that public comments still have to be considered on the draft amendment, there most likely will be more time before amendments are implemented. The public comments may take on different dynamics under the new administration of the GNU.
Actions
On 10 April 2024, government invited the public to comment on draft amendments to the ML/TF control regulations regarding the reporting of conveyance of cash or bearer negotiable instruments in or out of SA.
Are there plans?
In the domestic environment, the FIC co-operates with various government departments and entities with which it is mandated to share information, in terms of section 40 of the FIC Act. These mandated institutions include government investigating authorities, intelligence services, investigative divisions in organs of state and any other entities or authorities stipulated. Non-mandated institutions are those that may request information from the FIC but are not under legal obligation to receive it. Furthermore, the FIC leads initiatives based on public-public collaboration and public-private partnerships, geared to forge beneficial relationships between multi-disciplinary role players and optimising the use of financial intelligence. These collaborations and partnerships foster timeous sharing of financial and other information to expedite the prevention, detection, investigation and resolution of financial crimes; such collaborations also occur with international partners. Ultimately, the objective is to improve the safeguarding of the financial system through the effective use of financial intelligence produced by the FIC.
Is it on the agenda?
The FIC functions include: to receive regulatory reports and transaction and other data from accountable institutions and other businesses; interpret and analyse the data received; produce financial intelligence from this data for the use of competent authorities in their investigations, prosecutions and applications for asset forfeiture; produce forensic evidence based on the flow of financial transactions; exchange information with bodies that have similar objectives in other countries regarding the combating of money laundering, terrorist financing and proliferation financing, and other similar activities; and facilitate effective supervision and enforcement by supervisory bodies.
Goals
The Financial Intelligence Centre (FIC) was established to identify the proceeds of crime, combat money laundering, and terror financing; supervise and enforce compliance with the FIC Act; share information with law enforcement authorities, supervisory bodies, intelligence services, the South African Revenue Service, and other local and international agencies; facilitate effective supervision and enforcement by supervisory bodies; formulate and lead the implementation of policy regarding money laundering and the financing of terrorism; provide policy advice to the Minister of Finance; and uphold the international obligations and commitments required by the country in respect of anti-money laundering and combating financing of terrorism (AML/CFT).
Departments / Govt Institutions
Summary
The Financial Intelligence Centre Act, 2001 (Act 38 of 2001) empowers the FIC to apply measures designed to identify the proceeds of crime, combat money laundering, terrorist financing and financing of the proliferation of weapons of mass destruction.
View DetailsIs it working?
The recent upgrades from the FATF suggest that South Africa’s investments in the FIC’s capacity and operations are proving effective. The FIC’s role in increasing STRs and supporting successful law enforcement actions indicates that it is becoming more proactive in identifying and addressing financial crime risks. However, sustained effectiveness will require the FIC to demonstrate a continuous increase in the volume and quality of intelligence it generates, as well as its capacity to support complex investigations and prosecutions. The FATF’s emphasis on improved intelligence sharing and STRs means that the FIC must also prioritise quick, accurate reporting and responsive coordination with domestic and international agencies, particularly leading into the next evaluation in February 2025.
Actions
The FIC has been tasked with improving the quality and timeliness of suspicious transaction reports (STRs) and expanding its analytical capabilities to support complex money laundering and terror financing investigations. The FIC is working closely with law enforcement and supervisory bodies to facilitate the exchange of intelligence and enhance coordination in AML/CFT investigations. This includes sharing actionable intelligence on financial crime trends, high-risk sectors and entities involved in suspicious activities. As part of its mandate, the FIC is also advancing its engagement in international information sharing networks, ensuring South Africa meets the FATF’s expectations on global cooperation in intelligence sharing.
Are there plans?
In the domestic environment, the FIC co-operates with various government departments and entities with which it is mandated to share information, in terms of section 40 of the FIC Act. These mandated institutions include government investigating authorities, intelligence services, investigative divisions in organs of state and any other entities or authorities stipulated. Non-mandated institutions are those that may request information from the FIC but are not under legal obligation to receive it. Furthermore, the FIC leads initiatives based on public-public collaboration and public-private partnerships, geared to forge beneficial relationships between multi-disciplinary role players and optimising the use of financial intelligence. These collaborations and partnerships foster timeous sharing of financial and other information to expedite the prevention, detection, investigation and resolution of financial crimes; such collaborations also occur with international partners. Ultimately, the objective is to improve the safeguarding of the financial system through the effective use of financial intelligence produced by the FIC.
Is it on the agenda?
The FIC functions include: to receive regulatory reports and transaction and other data from accountable institutions and other businesses; interpret and analyse the data received; produce financial intelligence from this data for the use of competent authorities in their investigations, prosecutions and applications for asset forfeiture; produce forensic evidence based on the flow of financial transactions; exchange information with bodies that have similar objectives in other countries regarding the combating of money laundering, terrorist financing and proliferation financing, and other similar activities; and facilitate effective supervision and enforcement by supervisory bodies.
Goals
The Financial Intelligence Centre (FIC) was established to identify the proceeds of crime, combat money laundering, and terror financing; supervise and enforce compliance with the FIC Act; share information with law enforcement authorities, supervisory bodies, intelligence services, the South African Revenue Service, and other local and international agencies; facilitate effective supervision and enforcement by supervisory bodies; formulate and lead the implementation of policy regarding money laundering and the financing of terrorism; provide policy advice to the Minister of Finance; and uphold the international obligations and commitments required by the country in respect of anti-money laundering and combating financing of terrorism (AML/CFT).
Departments / Govt Institutions
Summary
The Financial Intelligence Centre Act, 2001 (Act 38 of 2001) empowers the FIC to apply measures designed to identify the proceeds of crime, combat money laundering, terrorist financing and financing of the proliferation of weapons of mass destruction.
View DetailsIs it working?
The recent upgrades from the FATF suggest that South Africa’s investments in the FIC’s capacity and operations are proving effective. The FIC’s role in increasing STRs and supporting successful law enforcement actions indicates that it is becoming more proactive in identifying and addressing financial crime risks. However, sustained effectiveness will require the FIC to demonstrate a continuous increase in the volume and quality of intelligence it generates, as well as its capacity to support complex investigations and prosecutions. The FATF’s emphasis on improved intelligence sharing and STRs means that the FIC must also prioritise quick, accurate reporting and responsive coordination with domestic and international agencies, particularly leading into the next evaluation in February 2025.
Actions
The FIC has been tasked with improving the quality and timeliness of suspicious transaction reports (STRs) and expanding its analytical capabilities to support complex money laundering and terror financing investigations. The FIC is working closely with law enforcement and supervisory bodies to facilitate the exchange of intelligence and enhance coordination in AML/CFT investigations. This includes sharing actionable intelligence on financial crime trends, high-risk sectors and entities involved in suspicious activities. As part of its mandate, the FIC is also advancing its engagement in international information sharing networks, ensuring South Africa meets the FATF’s expectations on global cooperation in intelligence sharing.
Are there plans?
In the domestic environment, the FIC co-operates with various government departments and entities with which it is mandated to share information, in terms of section 40 of the FIC Act. These mandated institutions include government investigating authorities, intelligence services, investigative divisions in organs of state and any other entities or authorities stipulated. Non-mandated institutions are those that may request information from the FIC but are not under legal obligation to receive it. Furthermore, the FIC leads initiatives based on public-public collaboration and public-private partnerships, geared to forge beneficial relationships between multi-disciplinary role players and optimising the use of financial intelligence. These collaborations and partnerships foster timeous sharing of financial and other information to expedite the prevention, detection, investigation and resolution of financial crimes; such collaborations also occur with international partners. Ultimately, the objective is to improve the safeguarding of the financial system through the effective use of financial intelligence produced by the FIC.
Is it on the agenda?
The FIC functions include: to receive regulatory reports and transaction and other data from accountable institutions and other businesses; interpret and analyse the data received; produce financial intelligence from this data for the use of competent authorities in their investigations, prosecutions and applications for asset forfeiture; produce forensic evidence based on the flow of financial transactions; exchange information with bodies that have similar objectives in other countries regarding the combating of money laundering, terrorist financing and proliferation financing, and other similar activities; and facilitate effective supervision and enforcement by supervisory bodies.
Goals
The Financial Intelligence Centre (FIC) was established to identify the proceeds of crime, combat money laundering, and terror financing; supervise and enforce compliance with the FIC Act; share information with law enforcement authorities, supervisory bodies, intelligence services, the South African Revenue Service, and other local and international agencies; facilitate effective supervision and enforcement by supervisory bodies; formulate and lead the implementation of policy regarding money laundering and the financing of terrorism; provide policy advice to the Minister of Finance; and uphold the international obligations and commitments required by the country in respect of anti-money laundering and combating financing of terrorism (AML/CFT).
Departments / Govt Institutions
Summary
Government has adopted the following initiatives to enhance the supervisory capacity for AML/CFT: targeted strengthening of skills and expertise; revisions to the regulatory governing framework, focused supervision with more resources in high-risk sectors and entities; enhanced collaboration between government and industry stakeholders; development and integration of digital tools for monitoring and analysing AML/CFT risks; evaluation and assessment of supervisory practices.
View DetailsIs it working?
The FATF’s upgrade on supervisory capacity reflects the tangible improvements South Africa has achieved in strengthening its AML/CFT supervisory framework. The increase in risk-based supervision, particularly for high-risk sectors, shows that South Africa’s strategies are beginning to yield results. The effectiveness of these measures will be closely evaluated in the upcoming reporting cycle, with FATF emphasising the importance of applying sanctions consistently for non-compliance across all regulated entities. To maintain progress, South Africa will need to demonstrate that supervisory authorities are not only equipped but also empowered to apply sanctions and that compliance monitoring is sustained across sectors.
Actions
The government is focusing on building technical capabilities and resources for AML/CFT supervisory authorities to implement more effective, risk-based supervision across all sectors. Plans include developing training programmes and tools for supervisors to enhance their ability to identify, monitor and address compliance gaps, especially in high-risk areas. An additional priority is ensuring that supervisors have the authority to impose dissuasive sanctions for non-compliance and are actively encouraged to apply these sanctions proportionately and effectively.
Are there plans?
South Africa's 2023-26 national strategy (adopted in November 2022) indicates the goal of requiring risk-based supervision consistently across all FIs and DNFBPs through the allocation of resources and efforts.
Is it on the agenda?
Government put AML/CFT on its agenda in the mid-2000s with the objective of strengthening such measures in line with global standards.
Goals
To strengthen anti-money laundering and countering the financing of terrorism (AML/CFT) supervisory capacity (human and financial resources) of the FSCA and FIC. Furthermore, the country should demonstrate that all AML/CFT supervisors apply and monitor implementation of follow-up remedial actions and that effective, proportionate and dissuasive sanctions are being applied.
Departments / Govt Institutions
Summary
Government has adopted the following initiatives to enhance the supervisory capacity for AML/CFT: targeted strengthening of skills and expertise; revisions to the regulatory governing framework, focused supervision with more resources in high-risk sectors and entities; enhanced collaboration between government and industry stakeholders; development and integration of digital tools for monitoring and analysing AML/CFT risks; evaluation and assessment of supervisory practices. COMPLETE: We stopped tracking this specific reform at end-June 2025 as it is complete and in effect. FATF upgraded this in Feb 2025; FSCA’s AML/CFT supervisory function is robust.
View DetailsIs it working?
The FATF’s upgrade on supervisory capacity reflects success in South Africa strengthening its AML/CFT supervisory framework. The increase in risk-based supervision, particularly for high-risk sectors, shows that South Africa’s strategies are beginning to yield results. This was achieved in February 2025.
Actions
The government is focusing on building technical capabilities and resources for AML/CFT supervisory authorities to implement more effective, risk-based supervision across all sectors. Plans include developing training programmes and tools for supervisors to enhance their ability to identify, monitor and address compliance gaps, especially in high-risk areas. An additional priority is ensuring that supervisors have the authority to impose dissuasive sanctions for non-compliance and are actively encouraged to apply these sanctions proportionately and effectively.
Are there plans?
South Africa's 2023-26 national strategy (adopted in November 2022) indicates the goal of requiring risk-based supervision consistently across all FIs and DNFBPs through the allocation of resources and efforts.
Is it on the agenda?
Government put AML/CFT on its agenda in the mid-2000s with the objective of strengthening such measures in line with global standards.
Goals
To strengthen anti-money laundering and countering the financing of terrorism (AML/CFT) supervisory capacity (human and financial resources) of the FSCA and FIC. Furthermore, the country should demonstrate that all AML/CFT supervisors apply and monitor implementation of follow-up remedial actions and that effective, proportionate and dissuasive sanctions are being applied.
Departments / Govt Institutions
Summary
Government has adopted the following initiatives to enhance the supervisory capacity for AML/CFT: targeted strengthening of skills and expertise; revisions to the regulatory governing framework, focused supervision with more resources in high-risk sectors and entities; enhanced collaboration between government and industry stakeholders; development and integration of digital tools for monitoring and analysing AML/CFT risks; evaluation and assessment of supervisory practices. COMPLETE: We stopped tracking this specific reform at end-June 2025 as it is complete and in effect. FATF upgraded this in Feb 2025; FSCA’s AML/CFT supervisory function is robust.
View DetailsIs it working?
The FATF’s upgrade on supervisory capacity reflects success in South Africa strengthening its AML/CFT supervisory framework. The increase in risk-based supervision, particularly for high-risk sectors, shows that South Africa’s strategies are beginning to yield results. This was achieved in February 2025.
Actions
The government is focusing on building technical capabilities and resources for AML/CFT supervisory authorities to implement more effective, risk-based supervision across all sectors. Plans include developing training programmes and tools for supervisors to enhance their ability to identify, monitor and address compliance gaps, especially in high-risk areas. An additional priority is ensuring that supervisors have the authority to impose dissuasive sanctions for non-compliance and are actively encouraged to apply these sanctions proportionately and effectively.
Are there plans?
South Africa's 2023-26 national strategy (adopted in November 2022) indicates the goal of requiring risk-based supervision consistently across all FIs and DNFBPs through the allocation of resources and efforts.
Is it on the agenda?
Government put AML/CFT on its agenda in the mid-2000s with the objective of strengthening such measures in line with global standards.
Goals
To strengthen anti-money laundering and countering the financing of terrorism (AML/CFT) supervisory capacity (human and financial resources) of the FSCA and FIC. Furthermore, the country should demonstrate that all AML/CFT supervisors apply and monitor implementation of follow-up remedial actions and that effective, proportionate and dissuasive sanctions are being applied.
Departments / Govt Institutions
Summary
Government has adopted the following initiatives to enhance the supervisory capacity for AML/CFT, namely; targeted strengthening of skills and expertise; revisions to the regulatory governing framework, focused supervision with more resources in high-risk sectors and entities; enhanced collaboration between government and industry stakeholders; development and integration of digital tools for monitoring and analysing AML/CFT risks; evaluation and assessment of supervisory practices.
View DetailsIs it working?
The country's significant skills shortage will hamper implementation of the human resources aspect of AML/CFT supervisory capacity.
Actions
The Omnibus Bill has been enacted and the following timeline is in place: supervisory capacity must be achieved by May 2024 and remedial actions must be achieved by January 2025.
Are there plans?
South Africa's 2023-26 national strategy (adopted in November 2022) indicates the goal of requiring risk-based supervision consistently across all FIs and DNFBPs through the allocation of resources and efforts.
Is it on the agenda?
Government raised AML/CFT as an agenda in the mid-2000s with the objective of strengthening such measures in line with global standards.
Goals
For effective implementation, SA should strengthen AML/CFT supervisory capacity (human and financial resources) of the FSCA and FIC. Furthermore, the country should demonstrate that all AML/CFT supervisors apply and monitor implementation of follow-up remedial actions and that effective, proportionate and dissuasive sanctions are being applied.
Departments / Govt Institutions
Summary
Government has adopted the following initiatives to enhance the supervisory capacity for AML/CFT: targeted strengthening of skills and expertise; revisions to the regulatory governing framework, focused supervision with more resources in high-risk sectors and entities; enhanced collaboration between government and industry stakeholders; development and integration of digital tools for monitoring and analysing AML/CFT risks; evaluation and assessment of supervisory practices.
View DetailsIs it working?
The country's significant skills shortage will hamper the implementation of the human resources aspect of the AML/CFT supervisory capacity. This will be a significant issue for the GNU to contend with as the skills shortage has been exacerbated by ineffective government policies to promote employment and attract skilled individuals from other countries.
Actions
The Omnibus Bill has been enacted and the following timeline is in place: supervisory capacity must be achieved by May 2024 and remedial actions must be achieved by January 2025.
Are there plans?
South Africa's 2023-26 national strategy (adopted in November 2022) indicates the goal of requiring risk-based supervision consistently across all FIs and DNFBPs through the allocation of resources and efforts.
Is it on the agenda?
Government put AML/CFT on its agenda in the mid-2000s with the objective of strengthening such measures in line with global standards.
Goals
To strengthen AML/CFT supervisory capacity (human and financial resources) of the FSCA and FIC. Furthermore, the country should demonstrate that all AML/CFT supervisors apply and monitor implementation of follow-up remedial actions and that effective, proportionate and dissuasive sanctions are being applied.
Departments / Govt Institutions
Summary
Government has adopted the following initiatives to enhance the supervisory capacity for AML/CFT: targeted strengthening of skills and expertise; revisions to the regulatory governing framework, focused supervision with more resources in high-risk sectors and entities; enhanced collaboration between government and industry stakeholders; development and integration of digital tools for monitoring and analysing AML/CFT risks; evaluation and assessment of supervisory practices.
View DetailsIs it working?
The FATF’s upgrade on supervisory capacity reflects the tangible improvements South Africa has achieved in strengthening its AML/CFT supervisory framework. The increase in risk-based supervision, particularly for high-risk sectors, shows that South Africa’s strategies are beginning to yield results. The effectiveness of these measures will be closely evaluated in the upcoming reporting cycle, with FATF emphasising the importance of applying sanctions consistently for non-compliance across all regulated entities. To maintain progress, South Africa will need to demonstrate that supervisory authorities are not only equipped but also empowered to apply sanctions and that compliance monitoring is sustained across sectors.
Actions
The government is focusing on building technical capabilities and resources for AML/CFT supervisory authorities to implement more effective, risk-based supervision across all sectors. Plans include developing training programmes and tools for supervisors to enhance their ability to identify, monitor and address compliance gaps, especially in high-risk areas. An additional priority is ensuring that supervisors have the authority to impose dissuasive sanctions for non-compliance and are actively encouraged to apply these sanctions proportionately and effectively.
Are there plans?
South Africa's 2023-26 national strategy (adopted in November 2022) indicates the goal of requiring risk-based supervision consistently across all FIs and DNFBPs through the allocation of resources and efforts.
Is it on the agenda?
Government put AML/CFT on its agenda in the mid-2000s with the objective of strengthening such measures in line with global standards.
Goals
To strengthen anti-money laundering and countering the financing of terrorism (AML/CFT) supervisory capacity (human and financial resources) of the FSCA and FIC. Furthermore, the country should demonstrate that all AML/CFT supervisors apply and monitor implementation of follow-up remedial actions and that effective, proportionate and dissuasive sanctions are being applied.
Departments / Govt Institutions
Summary
Government has adopted the following initiatives to enhance the supervisory capacity for AML/CFT: targeted strengthening of skills and expertise; revisions to the regulatory governing framework, focused supervision with more resources in high-risk sectors and entities; enhanced collaboration between government and industry stakeholders; development and integration of digital tools for monitoring and analysing AML/CFT risks; evaluation and assessment of supervisory practices.
View DetailsIs it working?
The FATF’s upgrade on supervisory capacity reflects the tangible improvements South Africa has achieved in strengthening its AML/CFT supervisory framework. The increase in risk-based supervision, particularly for high-risk sectors, shows that South Africa’s strategies are beginning to yield results. The effectiveness of these measures will be closely evaluated in the upcoming reporting cycle, with FATF emphasising the importance of applying sanctions consistently for non-compliance across all regulated entities. To maintain progress, South Africa will need to demonstrate that supervisory authorities are not only equipped but also empowered to apply sanctions and that compliance monitoring is sustained across sectors.
Actions
The government is focusing on building technical capabilities and resources for AML/CFT supervisory authorities to implement more effective, risk-based supervision across all sectors. Plans include developing training programmes and tools for supervisors to enhance their ability to identify, monitor and address compliance gaps, especially in high-risk areas. An additional priority is ensuring that supervisors have the authority to impose dissuasive sanctions for non-compliance and are actively encouraged to apply these sanctions proportionately and effectively.
Are there plans?
South Africa's 2023-26 national strategy (adopted in November 2022) indicates the goal of requiring risk-based supervision consistently across all FIs and DNFBPs through the allocation of resources and efforts.
Is it on the agenda?
Government put AML/CFT on its agenda in the mid-2000s with the objective of strengthening such measures in line with global standards.
Goals
To strengthen anti-money laundering and countering the financing of terrorism (AML/CFT) supervisory capacity (human and financial resources) of the FSCA and FIC. Furthermore, the country should demonstrate that all AML/CFT supervisors apply and monitor implementation of follow-up remedial actions and that effective, proportionate and dissuasive sanctions are being applied.
Departments / Govt Institutions