Category : Press Release
Date : July 01, 2021
Agency : Bangko Sentral ng Pilipinas
Title : BSP Statement on the Inclusion of the Philippines in the Financial Action Task Force (FATF) List of Jurisdictions under Increased Monitoring
Article : The Philippines’ inclusion in the FATF list of jurisdictions under increased monitoring means that the country has committed to resolve swiftly the identified strategic deficiencies within agreed timeframes. Certainly, amidst the pandemic, the Philippines has worked vigorously to address the deficiencies identified in the 2018 Mutual Evaluation. We should take this key development as an additional impetus to work together and adopt a whole-of-country approach to achieve the main goal of further intensifying the country’s legal framework and implementation mechanisms to effectively fight money laundering and financing of terrorism and proliferation of weapons of mass destruction.

As such, the BSP remains steadfast and committed to pursue initiatives to strengthen the banking system’s framework and defenses against money laundering, terrorist financing and proliferation financing risks. Through the years, the BSP has embarked on strategic initiatives that advance the knowledge and capabilities of our supervised financial institutions against these risks. These include, among others, enhancing the risk-based anti-money laundering (AML)/countering terrorism and proliferation financing supervisory framework, conducting regular and targeted awareness sessions for supervised financial institutions, issuing necessary regulations, reminders, guidance papers and AML newsletters, performing thematic reviews and updating of the sectoral risk assessment, among others. The BSP has also strengthened engagement with the supervised financial institutions, industry associations and other supervisors and relevant government agencies.

The FATF does not call for the application of enhanced due diligence measures to be applied to jurisdictions in the grey list but encourages its members to take into account this information in their risk analysis. The BSP stands ready to engage and provide necessary guidance and assistance to our supervised financial institutions to manage its potential consequences. With our concerted and strategic efforts, we hope that the Philippines will achieve the target period to exit from the list the soonest time possible.