Kuwait and Papua New Guinea Added to FATF Grey List

Home Updates Kuwait and Papua New Guinea Added to FATF Grey List: 13th February 2026

Outcome of FATF Plenary, 11-13 February 2026

  • Added to Grey List: Kuwait and Papua New Guinea

  • Removed from Grey List: No change

  • Blacklist: No change.
Kuwait and Papua New Guinea Added to FATF Grey List Update 13th February 2026

FATF Grey List February 2026 Update: Kuwait and Papua New Guinea Added to FATF Grey List

On 13th February 2026, the first plenary session of the year was concluded by FATF. Post that, the FATF announced significant revisions to the FATF Grey List. Kuwait and Papua New Guinea were added to the FATF Grey List.

As part of its supervisory mandate, the Financial Action Task Force (FATF) periodically publishes updates on “Jurisdictions Subject to Increased Monitoring”, widely known as the “FATF Grey List”.

The FATF Grey List is a formal classification of countries that have strategic deficiencies in their Anti-Money Laundering (AML), Counter Financing of Terrorism (CFT), and Counter Proliferation Financing (CPF) measures. These countries are actively working with FATF to strengthen their AML/CFT/CPF measures.

The FATF serves as a global authority dedicated to combating financial crimes such as Money Laundering (ML), Terrorist Financing (TF) and Proliferation Financing (PF).

Through its in-depth analysis, it formulates internationally recognised recommendations to prevent wrongdoers from exploiting the financial system. FATF has issued uniform recommendations on Anti-Money Laundering (AML), Counter Financing of Terrorism (CFT) and Counter-Proliferation Financing (CPF).

These recommendations help countries around the world develop their domestic AML/CFT/CPF frameworks. Furthermore, FATF closely monitors compliance with these norms within nations’ internal AML/CFT/CPF frameworks.

Core Updates on Financial Action Task Force (FATF) Grey List in February 2026

Modifications made to the FATF Grey List mainly include the addition of Country Names and the erasure of Country Names.

Added Kuwait and PNG in the FATF Grey List (Jurisdictions Under Increased Monitoring) on 13th February 2026

Recognising the need to incorporate more stringent measures in their AML/CFT/CPF program, the following countries were added to the FATF Grey List.

  • Kuwait
  • Papua New Guinea

 

Removed Countries in the FATF Grey List (Jurisdictions Under Increased Monitoring) on 13th February 2026

  • No change

Jurisdictions Under Increased Monitoring by FATF as of 13th February 2026: The FATF Grey List as of 13th February 2026

As of 13th February 2026, the following countries are recognised as “Jurisdictions Under Increased Monitoring” by FATF.

FATF Grey List – updated on 13th February 2026

  1. Algeria  
  2. Angola  
  3. Bolivia  
  4. Bulgaria  
  5. Cameroon  
  6. Cote d’Ivoire  
  7. Democratic Republic of Congo  
  8. Haiti  
  9. Kenya
  10. Kuwait
  11. Laos  

12. Lebanon
13. Monaco
14. Namibia
15. Nepal
16. Papua New Guinea
17. South Sudan
18. Syria
19. Venezuela
20. Vietnam
21. Virgin Islands (UK)
22. Yemen

Kuwait has been added to the FATF Grey List: 13th February 2026

Following the conclusion of its first plenary on 13 February 2026, the FATF placed Kuwait on the Increased Monitoring List (Grey List).

Kuwait made a high-level political commitment in February 2026 to work with FATF and MENAFATF to strengthen the effectiveness of its AML/CFT regime.

Kuwait adopted its Mutual Evaluation Report (MER) in June 2024 and has made significant progress on the MER’s recommended actions.

Now that on 13th February 2026, it has been added to the FATF Grey List, it will continue to work with FATF to implement its action plan by:

  1. Enhancing outreach to real estate agents and DPMSs on STR reporting, including through the distribution of sector-based indicators of ML/TF
  2. Ensuring that beneficial ownership information in the registry is accurate, and applying effective, proportionate and dissuasive sanctions in cases of inaccurate information where appropriate
  3. Increasing ML investigations and prosecutions in relation to cross-border movements of currency and BNIs.

Papua New Guinea has been added to the FATF Grey List: 13th February 2026

Following the conclusion of its first plenary on 13 February 2026, the FATF placed Papua New Guinea (PNG) under the Increased Monitoring List (the Grey List). PNG made a high-level political commitment to work with the FATF and APG to strengthen the effectiveness of its AML/CFT regime.

Papua New Guinea adopted its Mutual Evaluation Report (MER) in September 2024, and since then, it has made progress on some of the MER’s recommended actions, including operationalising and strengthening the anti-corruption authority, developing a national risk assessment and automating communication of UNSCR updates to relevant government agencies and reporting entities.

Now that on 13th February 2026, Papua New Guinea has been added to the FATF Grey List, it will continue to work with the FATF to implement its FATF action plan by:

  1. Improving its understanding of ML risks and endorsing the National AML/CFT/CPF Strategic Plan
  2. Proactively seeking outbound international cooperation to identify and trace criminal property abroad
  3. Improving risk-based supervision of banks, MVTS/FX dealers and higher risk DNFBPs
  4. Demonstrating an increase in ML investigations and prosecutions
  5. Demonstrating an increase in freezing/seizing and confiscation of criminal proceeds, instrumentalities and property of equivalent value
  6. Conducting training for competent authorities to enhance their understanding of TFS-PF implementation
  7. Addressing technical compliance deficiencies, including with respect to the ML offence, TF offence, TFS-PF, politically exposed persons and suspicious transaction reporting.

Regulatory Action Plan for Regulated Entities Subsequent to Changes in FATF Grey List Dated 13th February 2026

In UAE, Regulated Entities such as Financial Institutions (FIs), Designated Non-Financial Businesses and Professions (DNFBPs) and Virtual Assets Service Providers (VASPs) are required to stay up to date with the timely developments in the FATF Grey List as part of their AML/CTF/CPF compliance.

Regulated Entities should review their implemented AML/CFT/CPF program and align it with the new FATF Grey List countries, and consider greylisting of PNG and Kuwait.

The following actions are to be taken to ensure thorough compliance.

  • Initiate Enterprise-Wide Risk Assessment (EWRA) and assess the likelihood of ML/TF/PF risks arising from exposure to the greylisted Kuwait and PNG.
  • Revise Risk Metrics to flag the newly added Grey List Countries and recalibrate controls for jurisdictions that have been removed from the Grey List.
  • Update internal AML/CFT/CPF Policies and Procedures to reflect the material changes in the FATF Grey List.
  • Review Customer Risk Assessment parameters and synchronise them with the newly updated FATF Grey List.
  • Ensure Enhanced Due Diligence (EDD) is applied to the customers or suppliers associated with the “FATF Jurisdictions subject to increased monitoring”.
  • Recalibrate the configuration of AML Software solutions in accordance with the FATF Grey List Updates.
  • Conduct robust training sessions for the employees to raise their awareness of the changes in the FATF Grey List and educate them on the revised procedures for dealing with customers.

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