President Ferdinand R. Marcos Jr. on Monday declared the exit of the Philippines from the Financial Action Task Force (FATF) “grey list” a triumph for the country over illegal activities, including money laundering and terrorism financing.
“With that announcement, the Philippines emerged victorious in our fight against money laundering and terrorism financing. For Filipinos, exiting the grey list means simpler, more affordable financial transactions,” President Marcos said in a speech during a recognition ceremony in Malacañan.
“Overall, it means stronger safeguards against money laundering, terrorist financing, and proliferation financing—threats that have no place in a nation on the path towards genuine and inclusive growth,” the President said.
Acknowledging the efforts of individuals and agencies who worked hard to remove the Philippines from the FATF’s grey list,” President Marcos said.
In his speech, President Marcos said the Philippines’ delisting from the grey list “means our OFWs can send money home at a lower cost.”
“It also means our businesses face fewer hurdles in securing international financing, which encourages foreign investment,” the President said.
Being on the FATF grey list indicates a country’s weak measures against money laundering and terrorist financing, requiring specific reforms under international monitoring. The FATF grey list can hurt a country’s economy by discouraging foreign investment and increasing financial scrutiny.
On Feb. 21, 2025, the FATF, an international anti-money laundering watchdog, announced that it had removed the Philippines from its so-called “grey list” of countries whose financial transactions are heavily scrutinized.
In June 2021, the FATF listed the Philippines in its “grey list” due to a host of reasons, including money laundering from casino junkets and a lack of prosecution of terrorism funding cases.
The FATF is a 40-member body that sets international standards to ensure national authorities can effectively pursue illicit funds linked to drug trafficking, the illegal arms trade, cyber fraud, and other serious crimes.
On Oct. 16, 2023, President Marcos issued Memorandum Circular No. 37, directing all concerned government agencies to immediately and comprehensively address the country’s remaining International Cooperation Review Group (ICRG) Action Plan Items.
Through a whole-of-government approach, with the support of stakeholders from the private sector to the judiciary, the government successfully addressed all ICRG Action Plan Items in October 2024.
The ICRG Action Plan Items are a list given to a country to enable it to address money laundering and terrorist financing risks. These items are intended to improve a country’s effectiveness in combating financial crimes and align with global best practices.
The President said that the administration’s top priorities are to strengthen the credibility of the country’s financial system, including securing global confidence in the institutions. | PND
