South Africa's greylist exit opened new doors for SMEs

SOUTH Africa's removal from the Financial Action Task Force grey list in October 2025 marked a defining moment for the country's small business sector.

- ASHLEY LECHMAN

Entrepreneurs who had faced high borrowing costs and nervous investor sentiment during the greylisting period finally saw renewed possibilities for growth.

President Cyril Ramaphosa described the exit from the list as a “boost for South Africa's international reputation and global standing,” in his weekly address.

He welcomed the global recognition of progress made but cautioned that “the real work begins now.”

The President emphasised that although the country had met the FATF technical requirements, the commitment to transparency and trust must continue.

For small and medium enterprises, the delisting promised potential relief after more than two years of added pressure.

The 2023 greylisting had been triggered by weak enforcement rather than gaps in legislation. It resulted in greater scrutiny, higher compliance costs, and restricted access to credit for businesses engaging in cross border operations.

With South Africa back in good standing, these barriers were expected to ease, making trade and financing more accessible.