The Securities and Exchange Commission (SEC) said it will implement more policy reforms to ensure that the Philippines remains out of the gray list of global financial crimes watchdog Financial Action Task Force (FATF).
SEC chairman Emilio Aquino said the agency would continue to identify emerging risks and gaps in the country’s anti-money laundering and counter-terrorist financing (AML/CFT) framework and promptly implement the necessary measures over the next two years.
“The next two years will be crucial, as the Philippines prepares for another mutual evaluation, where the country’s AML/CFT standards will be assessed for their compliance with global standards,” said Aquino.
“Failure to address identified risks—such as gaps in beneficial ownership transparency, enforcement actions, or emerging financial threats—could increase our risk of going back to the grey list. Therefore, continued vigilance, policy enhancements, and effective enforcement remain critical to ensuring that the Philippines stays off the grey list and maintains its position as a reliable and competitive financial hub in the region,” he said.
The Philippines was removed from the gray list on Feb. 21, 2025 after a little over three years of the being in the list. The Philippines, however, will undergo another assessment in 2027.
“The Philippines is expected to sustain the implementation of the reforms and importantly, to do so in a way that is consistent with the FATF standard,” FATF president Elisa de Anda Madrazo said.
“This will provide an opportunity for the FATF to verify that the reforms remain in place and are being sustained in line with FATF standards,” she said.
Aquino said the SEC would continue to coordinate with other government agencies and competent authorities to enhance the country’s AML/CFT framework.
It will also improve the collection and management of beneficial ownership information of companies.
The SEC said it would also continue to conduct regular offsite and onsite AML/CFT compliance examinations over supervised entities.
These include the non-profit organization (NPO) sector which has been identified as a common target for terrorism financing.