PARIS - Financial Action Task Force (FATF), a Paris-based anti-money laundering and terrorism financing watchdog, says the two countries have not been doing enough to address organized crime, illicit finance, counterfeit trade, tax evasion and terrorism financing. Faustine Ngila delves into the intricacies of the situation.

The grey listing of Africa’s leading economies by global anti-money laundering and terrorism financing watchdog is expected to present far-reaching setbacks to the two countries’ economic growth.

The warning by FATF comes in the midst of a difficult financial phase for both countries. They continue to witness their own unique challenges, but economic downturns caused by stagnated growth are a common denominator.

Grey listing, which precedes blacklisting, means that a country is under FATF’s increased monitoring as it cooperates with the taskforce to address the pertinent concerns including money laundering and terrorism financing.

It also piles more pressure as these countries are required to do more to address the underlying issues of organized crime, illicit finance, counterfeit trade, tax evasion, and improve their ability to fight financial crime.