DFA hails Philippines exit from FATF gray list

March 8, 2025 | 12:00am

MANILA, Philippines — The Department of Foreign Affairs yesterday hailed the removal of the Philippines from the gray list of the Financial Action Task Force (FATF), a top international money laundering and terrorism-financing watchdog.

In a statement, the DFA welcomed the announcement of the country’s exit from the group’s list of jurisdictions under increased monitoring last month.

“The whole-of-nation effort, backed by high level political commitment and solid institutional reforms, saw the strengthening of the country’s AML/CFT (anti-money laundering and combatting the financing of terrorism) posture, fulfilling its FATF Action Plan commitments to address strategic deficiencies,” the DFA said.

“This milestone achievement signals a safer and more steady investment climate, as instituted measures result in enhanced confidence in transacting with Philippine institutions, lower interest rates, and reduced possibility of de-risking,” the statement added.

The DFA noted that “the positive impact also extends to the whole Filipino diaspora, which includes overseas Filipino workers as well as Filipino permanent and temporary migrants.”

According to the DFA, such removal from FATF’s gray list opens up greater opportunities for the inflow of remittances and investments of Filipinos abroad to the Philippines.

This, the DFA said, means “increasing the participation of our Filipino communities around the world in nation-building, including supporting the Philippine economy’s important role in the successful reintegration of our nationals.”

After being placed on the gray list since June 2021, the Philippines was under heavy scrutiny, prompting the government to actively combat the risk of dirty money flowing through casinos, which also led to the banning of Philippine offshore gaming operators last year.