Philippines exits global watchdog FATF’s money laundering ‘grey list’

The Philippines has been removed from the Financial Action Task Force’s (FATF) "grey list" after addressing deficiencies in anti-money laundering (AML), counter-terrorism financing (CTF), and counter-proliferation financing (CPF).

The global AML watchdog announced the decision following a plenary meeting in Paris on Friday, stating that the Philippines had successfully completed its action plan within agreed timeframes. As a result, the country will no longer be under increased monitoring.

According to the FATF, the country demonstrated effective risk-based supervision of Designated Non-Financial Businesses and Professions (DNFBPs), strengthened oversight of casino junkets, and improved financial intelligence, investigations, and prosecutions related to money laundering.

Still, the FATF urged the Philippines to sustain its progress by continuing collaboration with the Asia/Pacific Group on Money Laundering. It also cited the need for the country to ensure that counter-terrorism financing measures do not hinder legitimate nonprofit organization activities.

The Philippines was the only nation removed from the grey list in this round, while 25 other jurisdictions, including Vietnam and Nepal, remain under increased monitoring.

Exiting the FATF grey list is expected to boost economic activity by facilitating cross-border transactions for businesses and individuals.

Philippine gaming regulator PAGCOR Chairman and CEO Alejandro Tengco said the agency remained committed to maintaining compliance. “We are honored to have played a crucial part in this development, and the public can rest assured that PAGCOR will continue to ensure that all our licensees comply with all anti-money laundering rules and regulations,” he said.

“We also commit to sustain the fight against money laundering and terrorist financing in the entire Philippine gaming industry, including our online gaming operators, land-based casinos and junket operators,” Tengco continued.