Mathias Hangala
The Financial Action Task Force (FATF) maintains a “grey list” of countries with deficiencies in their anti-money laundering and counter-terrorist financing (AML/CFT) frameworks.
While the United Arab Emirates was removed from the list in February 2024, followed by South Africa and action by the European Commission in 2025, Namibia remains under monitoring.
This is despite having addressed all 13 action items identified across its legal and financial systems to close gaps related to money laundering and terrorism financing.
While tabling the national appropriation bill in Parliament last week, Finance Minister Ericah Shafuda confirmed that Namibia expects a FATF on-site evaluation ahead of its May 2026 deadline. Such visits assess whether reforms are not only legislated but also implemented.
In 2024, Namibia partnered with the United Nations Office on Drugs and Crime under its Global ProgrammeAgainst Money Laundering to host a four-day workshop aimed at strengthening institutional capacity to combat proliferation financing.
Participants included the Namibian Police (Nampol), Financial Intelligence Centre (FIC), Namibia Revenue Agency (NamRA), the Office of the Prosecutor General and other agencies. The training reinforced investigative coordination and compliance with international standards.
Namibia’s efforts are grounded in its obligations under various UN conventions and binding Chapter VII resolutions of the UN Security Council.
These commitments are reflected in the FATF’s 40 Recommendations, which serve as the global benchmark for protecting the integrity of financial systems and strengthening international security.
The urgency of these reforms is underscored by a global surge in fraud and cyber-enabled scams. In the United Arab Emirates (UAE), for example, more than 40,000 residents are reportedly to have lost money to scams in 2023.
Meanwhile, a 2024 survey cited in a recent World Economic Forum report found that a third of respondents suffered average losses of $2,194, while 60% of victims who sought reimbursement received nothing. Beyond financial harm, such crimes can expose victims to legal and reputational consequences.
Financial crime is often mischaracterised as “victimless,” affecting only banks and large institutions, but its impact is seemingly human. Families lose savings, businesses collapse, and trust in financial systems erodes.
As economic growth accelerates across regions such as the Gulf Cooperation Council (GCC), individuals and companies face exposure to sophisticated fraud schemes-sometimes without recognising the warning signs.
Public awareness is therefore a first line of defence.
Citizens may be equipped to identify red flags, understand how scams operate, and know how to respond.
Effective communication can be delivered through social media, news platforms, banking apps and direct messaging. Early education significantly reduces vulnerability.
In Dubai, the Economic Security Centre of Dubai launched the “Strong Economy-An Aware Society” campaign to educate the public about phishing, fake advertisements, cryptocurrency scams, and other deceptive schemes.
The initiative demonstrates how coordinated awareness drives can strengthen economic resilience. Digital transformation has also reshaped the risk landscape.
In Saudi Arabia, electronic payments accounted for 79% of all retail transactions in 2024, up from previous years.
Meanwhile, Bahrain recorded a 196% surge in mobile wallet payments in 2021. While digital payments improve efficiency and inclusion, they also create opportunities for fraud, particularly authorised push payment scams, where unsuspecting victims are deceived into transferring funds to criminals.
Combining public awareness with payment innovation is essential. Advanced, integrated payment systems may reduce exploitable gaps, while real-time monitoring may enable banks to detect suspicious activity before losses escalate.
Governments and businesses need to collaborate to ensure technological progress strengthens, rather than weaken financial safeguards.
Designed regulatory “sandboxes” might allow authorities to test innovations, scale successful models, and learn from failures without penalizing users or providers.
This balanced approach fosters innovation while protecting citizens and institutions.
For Namibia, exiting the FATF grey list is not merely a technical milestone. It is a signal to investors, partners, and citizens that the country’s financial system is resilient, transparent and secure.
Sustained implementation, public education, and smart regulation will be key to safeguarding both economic growth and public trust in an increasingly digital financial world.
