- The European Union (EU) has added Nigeria to countries on its “dirty money blacklist”
- The EU said the nations in this category pose a threat because of tax controls on terrorism financing and money laundering
- Criteria used to blacklist the countries include low sanctions against money laundering and terrorism financing
The European Union (EU) has added Nigeria to a blacklist of nations seen as posing a threat because of lax controls on terrorism financing and money laundering.
An EU executive told Reuters on Wednesday, February 13, that the move is part of a crackdown on money laundering after several scandals at EU banks.
Nigeria making the list is a big blow to the anti-corruption fight of the Muhammadu Buhari-led administration.
The move has, however, been criticized by several EU countries including Britain worried about their economic relations with the listed states.
Other countries recently listed are Saudi Arabia and Panama.
“Saudi Arabia’s commitment to combating money laundering and the financing of terrorism is a strategic priority,” the Saudi government said in a statement in reaction to the EU's action.
Panama said it should be removed from the list because it recently adopted stronger rules against money laundering.
The Nigerian government has remained quiet on the EU's action.
Apart from reputation damage, inclusion on the list complicates financial relations with the EU. The bloc’s banks will have to carry out additional checks on payments involving entities from listed jurisdictions.
Other newcomers to the list are Libya, Botswana, Ghana, Samoa, the Bahamas and the four United States territories of American Samoa, U.S. Virg*n Islands, Puerto Rico and Guam.
The other listed states are Afghanistan, North Korea, Ethiopia, Iran, Iraq, Pakistan, Sri Lanka, Syria, Trinidad and Tobago, Tunisia and Yemen.
Bosnia, Guyana, Laos, Uganda and Vanuatu were removed.
Meanwhile, New York-based financial analysts, Citigroup, has projected that Nigeria’s stock market may rally if President Buhari loses this weekend’s election.
The analysts noted that the nation's stock market will recover, ending a run that’s seen it fall more than any other in the world in dollar terms since Buhari came to office in May 2015.
According to the report, some foreign investors would prefer a government led by ex-Vice President and Peoples Democratic Party (PDP) presidential candidate, Alhaji Atiku Abubakar.
NAIJ.com (naija.ng) -> Legit.ng. We have updated to serve you better.
Presidency, Nigerians give their thoughts on the fight against corruption| Legit TV