PH exits global financial crime watchdog 'grey list'

Metro Manila, Philippines - The Philippines has successfully exited the Financial Action Task Force (FATF) grey list, marking a significant milestone in the country’s ongoing efforts to combat money laundering and terrorist financing.

The country’s removal from the list is expected to lower costs for international fund transfers, benefiting both businesses and individuals.

Being on the FATF greylist subjected the country to enhanced monitoring, creating challenges for banks and other financial institutions, while also discouraging international financial transactions.

The Presidential Communications Office said in a statement that with the exit, the country anticipates more efficient and cost-effective cross-border transactions, improved financial transparency, and reduced compliance barriers—benefits that are expected to boost businesses, attract foreign investments, and support overseas Filipino workers (OFWs).

President Ferdinand R. Marcos, Jr. previously issued Executive Order No. 33, which outlined steps to address the FATF's action plan.

Executive Secretary Lucas P. Bersamin welcomed the FATF’s decision, noting that it confirms the alignment of the Philippines' anti-money laundering framework with global standards.

The Anti-Money Laundering Council (AMLC) in a separate statement emphasized the collaborative effort behind this achievement, highlighting the roles played by both the government and private sector.

The Philippines had been placed on the greylist in 2021 and was given 18 action items to address in order to secure its exit.

Countries on the grey list are closely monitored, with the risk of being blacklisted if corrective actions are not taken.

Prior to the greylisting, foreign regulators had already imposed stricter requirements on financial institutions dealing with entities from countries deemed to have weak anti-money laundering measures, leading some banks to avoid these relationships.