The Federal Airport Authority of Nigeria (FAAN) and the Nigeria Customs Service (NCS) have joined forces in a concerted effort to remove Nigeria from the Financial Action Task Force (FATF) grey list. This collaborative initiative stems from Nigeria’s inclusion on the list in February 2023 due to shortcomings in combating money laundering, terrorism financing, and the proliferation of arms. The FATF, an international body established in 1995, monitors countries’ adherence to global standards against financial crimes. Being placed on the grey list carries significant reputational and economic implications, potentially hindering international trade and investment. Both FAAN and NCS recognize the urgency and importance of addressing the identified deficiencies and are committed to implementing the necessary measures to restore Nigeria’s standing within the international financial community.
The joint effort between FAAN and NCS focuses on enhancing passenger and cargo facilitation at airports while strengthening security measures to curb illicit financial flows. FAAN Managing Director, Olubunmi Kuku, and NCS Comptroller-General, Adewale Adeniyi, conducted a joint inspection tour of the Lagos airport’s international wing, demonstrating their commitment to this collaborative approach. During the visit, they emphasized the importance of inter-agency synergy in improving passenger experience, trade facilitation, and, crucially, compliance with international financial regulations. This partnership aims to streamline processes, improve communication, and ensure a unified approach to tackling financial crimes at Nigeria’s airports.
One key aspect of this collaboration is reinforced compliance with currency declaration regulations. Nigerian law mandates that passengers arriving or departing with an amount exceeding $10,000 declare the funds. Both FAAN and NCS are working to ensure more effective monitoring and enforcement of this requirement. Kuku stressed the “shared determination to rid our entry and exit points of illegal financial transactions,” emphasizing the concerted effort to combat money laundering and illicit financial activities across Nigeria’s borders. The focus on currency declaration is not limited to departures but also extends to arrivals, ensuring a comprehensive approach to monitoring financial flows.
FAAN has implemented several measures to enhance airport security and streamline passenger processing, including the deployment of advanced screening technologies like e-gate systems. These technological advancements aim to improve both security and efficiency, contributing to a smoother travel experience for passengers. Furthermore, FAAN has secured a commitment from the NCS to reduce the number of officers interacting directly with passengers, leveraging automated screening processes instead. This streamlining of procedures is expected to expedite passenger flow while maintaining robust security protocols.
Adeniyi expressed satisfaction with the measures implemented by FAAN, particularly the provision of designated areas for currency declaration. He highlighted the NCS’s efforts to automate its processes, with the ultimate goal of merging its declaration form with those of the Nigeria Immigration Service. This integration aims to create a more efficient and less cumbersome process for passengers while simultaneously strengthening the monitoring of financial transactions. Adeniyi’s confidence in the implemented measures reflects a positive outlook on Nigeria’s prospects of exiting the FATF grey list.
The anticipation of the FATF inspection team’s arrival in Nigeria underscores the urgency of these collaborative efforts. Both FAAN and NCS are confident that the measures put in place will demonstrate Nigeria’s commitment to combating financial crimes and satisfy the FATF’s requirements for delisting. The joint commitment between FAAN and NCS exemplifies a proactive approach to addressing the concerns raised by the FATF and underscores the determination to restore Nigeria’s reputation within the international financial community. Beyond simply meeting the FATF’s requirements, the collaboration aims to establish a robust and sustainable framework for preventing financial crimes at Nigeria’s airports and contribute to a more secure and transparent financial system.
