The United Nations is calling on African governments to crack down on illicit financial flows worth $88 billion yearly while ensuring anti-money laundering rules don't unfairly hamper civil society organisations. Ben Saul, who serves as UN Special Rapporteur on human rights protections in counter-terrorism efforts, made the call at the 3rd Africa High-Level Civil Society Conference on Anti-Money Laundering and Counter-Terrorism Financing in Abuja.
The conference brought together delegates from more than 30 countries and was organised by Spaces for Change, the Special Control Unit Against Money Laundering (SCUML) of the EFCC, and Civic Advisory Hub.
Saul noted that the 2023 update to FATF Recommendation 8 clarified a key point: only non-profit organisations that face genuine terrorism financing risks should face targeted restrictions. "Most non-profit organisations do not pose any risk of terrorist financing at all," he said.
According to him, governments must adopt risk-based and proportionate strategies rather than apply sweeping rules across the entire non-profit sector. He warned that heavy registration, reporting and monitoring demands could drain resources from humanitarian, development and peacebuilding work.
Saul also flagged a troubling pattern: banks increasingly refuse services to non-profit groups due to compliance concerns, making it harder for aid organisations to function. He cautioned against authorities weaponising counter-terrorism rules to suppress civic freedoms, stressing that effective FATF implementation needs partnership between states and civil society.
"Civil society engagement can reduce unnecessary regulation and strengthen the effectiveness of compliance measures," he said.
Harry Erin, director of the Special Control Unit Against Money Laundering at the Economic and Financial Crimes Commission, backed this approach. He said Nigeria has shown that complying with global anti-money laundering standards can strengthen institutions without crushing legitimate civil society work.
According to him, FATF Recommendation 8 doesn't demand blanket non-profit regulation but rather asks countries to pinpoint organisations vulnerable to terrorism financing abuse and apply targeted, risk-based measures. "The Financial Action Task Force has made it abundantly clear that Recommendation 8 is not about regulating or restricting all non-profit organisations," Erin told the conference.
He stressed that countries should shield legitimate charitable and humanitarian activities from needless disruption while focusing on genuine risks. Erin emphasised that civil society organisations remain vital partners in healthcare delivery, education, women empowerment, aid to internally displaced persons and peacebuilding across Africa.
