South Africa escaped greylist, but consumers still carried heavy debt burdens

SOUTH Africa's removal from the Financial Action Task Force greylist in October 2025 was widely welcomed as a key milestone for the country’s financial system and international reputation.

- ASHLEY LECHMAN

However, for households already drowning in debt, the path to financial recovery remained uncertain.

The FATF confirmed that South Africa had addressed all 22 action items required to restore global compliance with anti money laundering and counter terrorist financing standards.

The global watchdog noted “sustained progress in strengthening institutions and improving enforcement,” marking the end of almost three years of heightened monitoring and risk perception. While the announcement boosted confidence across financial markets, experts cautioned that the real test would be whether struggling families experienced any meaningful improvement.