Uganda has achieved a significant milestone in its commitment to enhancing financial transparency and combating money laundering and terrorist financing. After implementing essential reforms to address Anti-Money Laundering/Counterterrorism Financing (AML/CFT) concerns, the country has been removed from the grey list of the Financial Action Task Force (FATF).
The FATF, a global organization setting standards for combating illicit finance, placed Uganda on its Grey List in February 2020 due to deficiencies in AML/CFT measures. Since then, Uganda has undertaken rigorous reforms and demonstrated substantial progress in aligning its financial regulations with international standards.
Mr. Samuel Were Wandera, Executive Director of the Financial Intelligence Authority (FIA), announced Uganda’s delisting from the grey list following the FATF’s fifth plenary meeting in Paris, France, on February 21-23, 2024. This decision reflects Uganda’s unwavering commitment to fostering a transparent and secure financial environment.
During the period of close monitoring by FATF, the Ugandan government initiated key AML/CFT reforms to strengthen its systems against Money Laundering (ML) and Terrorism Financing (TF). These reforms included adopting a national AML/CFT strategy, enhancing the use of mutual/legal assistance, and implementing risk-based supervision of financial sectors.
Additionally, Uganda improved the capacity of law enforcement agencies to conduct terrorism financing investigations, implemented targeted financial sanctions, and strengthened the overall AML/CFT framework.
Mr. Wandera emphasized Uganda’s high-level political commitment to work with FATF and the Eastern and Southern Africa Anti-Money Laundering Group (ESAAMLG) since being placed on the grey list in February 2020. He expressed gratitude to FATF for its constructive engagement and guidance throughout the process.
Looking ahead, Uganda pledges to consolidate its achievements and further strengthen the AML/CFT regime through increased engagement with the private sector, enhancing coordination among government agencies, and building capacity to combat financial crimes effectively.
The removal of Uganda from the FATF grey list not only enhances the country’s reputation as a responsible member of the global financial community but also facilitates greater access to international financial markets, fostering economic growth and stability.
