Papua New Guinea and Kuwait Added to the FATF Grey List During February 2026 Plenary

Executive Summary:

February 2026 FATF Plenary Outcome: Changes to the FATF Grey List

Countries Added: Kuwait and Papua New Guinea Added to the FATF Grey List

Next Steps: Incorporate AML/CFT Policy and Procedures, Revise EWRA, Reassess Customer Risk.

FATF Grey List February Update: Papua New Guinea and Kuwait Added to the Jurisdictions Under Increased Monitoring

The Financial Action Task Force (FATF) acts as the global standard for combating financial crimes. As an international body, its core responsibility includes issuing rules that strengthen Anti-Money Laundering (AML), Counter Financing of Terrorism (CFT), and Counter Proliferation Financing (CPF) frameworks across the globe.

The conclusion of the FATF Plenary Meeting on 13^th February 2026 requires the Reporting Entities in India to update their policies, procedures and existing controls to align with the FATF Update.

Papua New Guinea
Kuwait

were added to the FATF Grey List on 13^th February 2026, acknowledging the need to strengthen their existing AML/CFT/CPF frameworks.

Action Items for Reporting Entities Following the FATF Grey List Update on 13th February 2026

Reporting Entities under the AML/CFT regulations need to incorporate FATF Grey List updates. The following actions are to be undertaken to remain compliant with the FATF Update:

Adopt a Risk-Based Approach

Reporting Entities should opt for implementing a Risk-Based Approach that supports the management of ML, TF, and PF risks.

Update Jurisdictional Risk Assessment

Reporting Entities should revise their jurisdictional Risk Assessment, which aligns with the FATF Grey List update.

Implement Enhanced Customer Due Diligence

Reporting Entities should mandatorily conduct Enhanced Due Diligence (EDD) for customers associated with the countries which are newly added to the FATF Grey List update.

Review AML/CFT Policies and Procedures

Reporting Entities should analyse their existing policies and procedures and re-align them to incorporate the FATF Grey List update.

Conduct Enterprise-Wide Risk Assessment (EWRA)

Reporting Entities should conduct an EWRA to gauge their exposure to ML/TF/PF risks as per the FATF Grey List.

Configure AML Software Parameters

Reporting Entities should recalibrate the parameters set in their software to detect high-risk countries as per the updated FATF Grey List and escalate them accordingly.

FATF Grey List Update as of 13th February 2026

Algeria  
Angola  
Bolivia
Bulgaria  
Cameroon  
Côte d’Ivoire  
Democratic Republic of Congo  
Haiti  
Kenya
Kuwait  
Laos

Lebanon  
Monaco  
Namibia  
Nepal  
Papua New Guinea
South Sudan
Syria  
Venezuela  
Vietnam 
Virgin Islands (UK) 
Yemen

Comply with FATF Updates

Let AML India Support your AML Framework with FATF Grey List Updates

We are committed to assisting proper enforcement of AML and CFT regulations to regulated entities in India by designing a personalised AML framework – policies, internal controls, and procedures – and ensuring effective implementation of the same.

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