Description
SEBI communication regarding FATF's October 2025 Plenary statements on jurisdictions with AML/CFT deficiencies. Burkina Faso, Mozambique, Nigeria and South Africa removed from increased monitoring.
Summary
NSE has issued a circular based on SEBI communication regarding the Financial Action Task Force (FATF) Public Statements released after the October 2025 Plenary. The statements identify jurisdictions with strategic Anti-Money Laundering (AML) and Counter-Financing of Terrorism (CFT) deficiencies. No new jurisdictions were added to increased monitoring, while four countries (Burkina Faso, Mozambique, Nigeria, and South Africa) were removed from the increased monitoring list.
Key Points
- FATF has released Public Statements following October 2025 Plenary on jurisdictions with AML/CFT deficiencies
- No new jurisdictions identified for increased monitoring in this update
- Four countries removed from increased monitoring: Burkina Faso, Mozambique, Nigeria, and South Africa
- Members must regularly check SEBI website for updates on FATF statements
- Two categories of jurisdictions tracked: Call for Action (high-risk) and Increased Monitoring
Regulatory Changes
This is an informational update with no direct regulatory changes to NSE trading or operational rules. However, it reflects ongoing international regulatory cooperation on AML/CFT matters that impact cross-border financial transactions and due diligence requirements.
Compliance Requirements
- Members are advised to take note of the FATF statements for necessary actions
- Members must ensure compliance with AML/CFT requirements related to jurisdictions identified by FATF
- Regular monitoring of SEBI website required for updates on FATF public statements
- Members should review their due diligence procedures for transactions involving the jurisdictions mentioned in FATF statements
Important Dates
- November 14, 2025: Circular issued by NSE
- October 2025: FATF Plenary meeting held
- Ongoing: Members required to regularly visit SEBI website for updates
Impact Assessment
Market Impact: Low direct market impact. This is primarily an informational circular for compliance awareness.
Operational Impact: Medium. Market participants dealing with international transactions must maintain awareness of FATF-identified jurisdictions to ensure proper AML/CFT due diligence procedures.
Positive Development: The removal of Burkina Faso, Mozambique, Nigeria, and South Africa from increased monitoring indicates improved AML/CFT frameworks in these jurisdictions, potentially easing compliance burden for transactions involving these countries.
Reference Links:
- FATF Call for Action: https://www.fatf-gafi.org/en/publications/High-risk-and-other-monitored-jurisdictions/Call-for-action-october-2025.html
- FATF Increased Monitoring: https://www.fatf-gafi.org/en/publications/High-risk-and-other-monitored-jurisdictions/increased-monitoring-october-2025.html
Contact Information:
- Toll Free: 1800 266 0050 (option 5)
- Email: uci@nse.co.in
Impact Justification
Informational circular regarding international AML/CFT compliance standards. No immediate action required but members must stay updated on FATF jurisdictions for ongoing compliance with cross-border transaction monitoring.