Designated Non-Financial Businesses and Professions (DNFBPs)

Supervision of DNFBPs has been required since before the Covid pandemic, but there is uncertainty regarding the extent of implementation, especially among smaller FIs and DNFBPs. In the FATF’s February 2024 update on South Africa’s compliance, it emphasised the need for improving risk-based supervision of DNFBPs and ensuring effective sanctions for non-compliance. An Omnibus Bill has been enacted, and a timeline has been established to implement three key plans. The first plan, involving the development of relevant risk assessment tools, must be completed by May 2024. The second plan focusing on the inspection of high-risk DNFBPs and the third plan centered on training, are expected to be completed by September 2024.