FATF June 2026: What the New Rules Mean for You
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South Africa is off the Financial Action Task Force (FATF) grey list. But that doesn't mean the pressure is off. The FATF's June 2026 Plenary has just raised the bar again, and if you're a registered accountable institution, some of these changes land directly on your desk.
Here is what happened in Paris from 15 to 19 June 2026, based on the Outcomes of the June 2026 meeting of the Financial Action Task Force issued by the Financial Intelligence Centre (FIC).
Humanitarian exemption added to the FATF Standards
The FATF updated Recommendation 6 of its Standards to make sure that sanctions measures don't accidentally block funds needed for humanitarian work or basic human needs. The update brings in the exemption already contained in two United Nations Security Council resolutions from 2022 and 2024.
In practical terms, this matters if any of your clients work in or fund activities in sanctioned jurisdictions. The exemption is now formally built into the global framework. Your RMCP should reflect how you handle these situations.
New guidance on payment transparency is open for comment
The FATF approved a public consultation on updated guidance for Recommendation 16, which deals with cross-border payment transparency. The guidance is aimed at helping countries and financial institutions fight money laundering, terrorist financing, proliferation financing, and fraud, especially as payment systems become more complex and fragmented.
The consultation opened in the week of 22 June 2026. If your practice handles international payments or advises clients who do, this is worth watching. The final guidance will shape what your due diligence on cross-border transactions needs to look like.
Crypto assets back in the spotlight
The FATF approved its seventh targeted update on how countries are implementing the FATF Standards for crypto assets and crypto asset service providers (CASPs). A new report will also look at the money laundering and terrorist financing risks linked to decentralised finance (DeFi) platforms.
Both reports are due for release in July 2026. If you advise clients who hold, trade, or use crypto, or if your practice is registered as a CASP, keep an eye on these. As the FIC Act compliance guide for accountable institutions makes clear, CASPs face full accountable institution obligations, and global standards are tightening.
Gambling and social media: new risk publications approved
The FATF approved two new research publications that cover emerging illicit finance risks.
The first looks at updated money laundering risks in the casino and broader gambling sector, as online and cross-border gambling platforms expand. The second deals with how terrorist financing is being conducted through social media, messaging apps, and streaming platforms, and will set out recommendations for platform engagement.
A third report, due in September 2026, will examine underground banking and hawala networks. None of this changes your current obligations directly. But it does signal which risk areas the global standard-setter is watching most closely, and where South Africa's regulators are likely to follow.
Jurisdictions under increased monitoring: what changed
The FATF confirmed two additions to its increased-monitoring list: Bosnia and Herzegovina and Iraq.
Two countries were removed: Algeria and Namibia.
Namibia's removal is a positive development for the region. It follows South Africa's own removal from the grey list in October 2025. As covered in SA is Off the Greylist: What Does the Big News Mean?, being removed from monitoring status reflects sustained compliance improvement, not a relaxation of standards.
The three jurisdictions that remain on the FATF high-risk list, where a call for action applies, are the Democratic Republic of Korea, Iran, and Myanmar. The FIC issued its advisory on both lists on 22 June 2026.
If any of your clients have links to these jurisdictions, your client risk profile needs to reflect that. Your RMCP risk scoring model should treat geographic exposure to monitored or high-risk jurisdictions as a factor in your overall client risk assessment.
What you should do now
Review your high-risk jurisdiction list. Update your RMCP to reflect the new additions and removals confirmed at the June 2026 Plenary. Bosnia and Herzegovina and Iraq are now monitored jurisdictions. Algeria and Namibia are no longer on the list.
Watch the FATF website for new publications. The crypto asset reports and public-private partnership overview are due in July 2026. The underground banking report follows in September. These will likely inform future FIC guidance.
If you handle cross-border payments, review the consultation. The updated Recommendation 16 guidance is open for comment. Your input, and your awareness, matters.
Check your RMCP covers DeFi and crypto. If you have clients in this space, your risk management programme needs to address it. The FIC Act already requires this. The new FATF report will sharpen expectations.
The FATF review cycle does not stop. South Africa's next mutual evaluation is expected from late 2026. The standard is not going down. The accountable institutions that are ready are the ones who kept their compliance systems current, not the ones who assumed that being off the grey list meant the work was done.