Pretoria: The South African Revenue Service (SARS) Commissioner, Edward Kieswetter, has expressed approval of the Financial Action Task Force’s (FATF) decision to remove South Africa from its grey list of jurisdictions under increased monitoring. “This is a significant moment for our country and a testament to the whole of government approach and its institutions to restore the integrity of our financial system,” Kieswetter stated.
According to South African Government News Agency, the decision to delist South Africa was made following the FATF Plenary meetings held from October 22 to 24, 2025, in Paris, France. Initially grey-listed in February 2023 due to systemic weaknesses exacerbated during the era of state capture, South Africa has made substantial progress. Kieswetter noted that SARS, alongside other key institutions, was affected and emphasized the importance of continued efforts to prevent any future regression.
The FATF is an intergovernmental organization established to combat money laundering, terrorist and proliferation financing, and other threats to the integrity of the international financial system. It sets global standards for anti-money laundering and counter-terrorism financing, promotes the effective implementation of these standards, and conducts mutual evaluations of member countries to assess their compliance.
Kieswetter highlighted that the delisting signifies confidence in South Africa’s progress but stressed that vigilance must continue. The commitment to combating financial crime and corruption remains ongoing. As the next FATF review approaches in 2026, SARS aims to uphold the highest standards of financial integrity, build public trust, and contribute to a stronger South African economy.
SARS has supported national efforts to meet the 22 action items required by the FATF. These efforts include strengthening financial intelligence-gathering capabilities, enhancing investigations, and improving asset preservation and recovery related to tax and customs crime. SARS has also introduced beneficial ownership reporting obligations and collaborated with the Companies and Intellectual Property Commission and the Master of the High Court to enhance access to beneficial ownership information.
Additionally, the Tax Administration Act was amended in 2023 to facilitate information exchange with relevant authorities, supporting the national beneficial ownership information framework. A digital traveller declaration system for cash and bearer negotiable instruments is being developed and piloted at borders, expected to become mandatory by the end of 2025.
SARS has provided training to its officials and other law enforcement personnel on money laundering, beneficial ownership, and information exchange. Moving forward, SARS will focus on embedding these improvements permanently into its operations, making compliance clear and easy for taxpayers, enforcing laws decisively, cooperating effectively with partners, and utilizing sophisticated data to counter illicit financial flows.