Philippines Removed From FATF Grey List
The Philippines is no longer on the Financial Action Task Force (FATF) “grey list” of jurisdictions at higher risk for financial crimes, marking a significant achievement for the nation. This delisting, effective as of February 20, follows the implementation of an 18-point action plan to restore financial integrity.
Commitment to Financial Integrity
The Philippines was added to the FATF grey list in June 2021. Since then, the country has successfully completed an 18-point action plan designed by FATF.
This plan aimed to restore the nation’s financial integrity, demonstrating a strong commitment to maintaining improvements.
POGO Crackdown
In a move demonstrating commitment, President Ferdinand Marcos Jr. outlawed Philippine Offshore Gaming Operations (POGOs) following reports of corruption.
Law enforcement subsequently arrested alleged POGO leaders and deported tens of thousands of foreign-born POGO workers.
The government and private sectors collaborated to strengthen anti-money laundering (AML) and counter-terrorism financing (CFT) safeguards.
These efforts included measures to prevent proliferation financing, which funds weapons of mass destruction, and applying greater scrutiny to non-financial institutions.
Global Impact and Future Compliance
FATF President Elisa de Anda Madrazo emphasized the global impact of the Philippines’ progress, stating that the improvements would have a “huge impact in the security of the international financial system.”
Executive Secretary Lucas Bersamin hailed the delisting, pledging to protect the gains through consistent compliance with global standards.
New Additions to Grey List
While the Philippines was removed, Nepal and the Lao People’s Democratic Republic have been added to the FATF grey list.
High-risk jurisdictions on the FATF “black list” include Democratic Republic of Korea, Iran, and Myanmar.