Benin Country Summary

FATF Status

Benin is not on the FATF List of Countries that have been identified as having strategic AML deficiencies

Compliance with FATF Recommendations

The last follow-up Mutual Evaluation Report relating to the implementation of anti-money laundering and counter-terrorist financing standards in Benin was undertaken in 2025. According to that Evaluation, Benin was deemed Compliant for 9 and Largely Compliant for 20 of the FATF 40 Recommendations. It remains Highly effective for 0 and Substantially Effective for 0 with regard to the 11 areas of Effectiveness of its AML/CFT Regime.

Benin faces significant challenges related to corruption and crime, despite having established comprehensive anti-corruption laws aimed at public officials and private sector practices. While the legal framework includes protections for whistleblowers and encourages ethical behavior, inconsistent enforcement and reported government interference hinder effective implementation, particularly in critical areas such as government procurement and taxation. Additionally, Benin grapples with organized crime, including human trafficking and illicit trade, which exploit governance vulnerabilities, while the resilience against such issues relies heavily on effective leadership, a robust criminal justice system, and the active role of civil society in promoting transparency and accountability.

Benin's economy has shown significant growth, with a 7.5 percent increase in 2024, largely driven by investments in infrastructure, agro-processing, and the expansion of the Glo-Djigbé Industrial Zone (GDIZ). The government has made substantial efforts to improve the investment climate by streamlining business registration processes, promoting foreign direct investment (FDI), and enhancing legal protections for investors through a revised Investment Code. However, challenges remain, including political tensions, judicial weaknesses, and security concerns, particularly in the northern regions, which could impact the overall investment landscape despite the country's increasing attractiveness as a destination for quality investment.