BSP Welcomes Philippines’ Removal From FATF Grey List

The Bangko Sentral ng Pilipinas (BSP) welcomed the Philippines’ exit from the Financial Action Task Force’s (FATF) grey list, marking a significant step in strengthening the country’s financial integrity.

The FATF announced that the Philippines has effectively addressed strategic deficiencies in its anti-money laundering (AML) and countering the financing of terrorism (CFT) framework, fulfilling commitments outlined since its inclusion in June 2021.

In a statement, BSP Governor Eli M. Remolona credited the achievement to strong collaboration between the government and the private sector.

“This achievement [exit from the greylist] is a result of strong cooperation within the government as well as the private sector,” Remolona said. “It also complements our ongoing efforts to make the financial system a stronger driver of sustainable growth.”

Since 2021, the BSP has worked alongside the Anti-Money Laundering Council and other government agencies to execute action plans that reinforced the country’s AML and counter-terrorism financing measures.

The National AML/CFT Coordinating Committee (NACC), through its subcommittees, played a crucial role in implementing strategic reforms. The BSP led efforts to supervise financial institutions, ensuring compliance with global standards.

Among the key improvements were:

• Stricter regulations on money transfer services, including new registration requirements and sanctions on unregistered operators.
• Enhanced enforcement of financial sanctions targeting terrorist financing and proliferation financing.

The BSP also recognized the role of industry associations, banks, and financial institutions in fortifying their AML and CFT frameworks.

Moving forward, the BSP reaffirmed its commitment to risk-based supervisory strategies to uphold the integrity and resilience of the Philippine financial system.