The Office of the President of the Philippines has issued a Memorandum Circular directing relevant government agencies, including gaming regulator PAGCOR, to “review and assess” their requirements and take all necessary actions to ensure the country exits a “grey list” of nations deemed to have deficient Anti-Money Laundering and Counter-Terrorism Financing controls.
The Memorandum Circular, issued Tuesday, emphasizes the “urgent implementation” of the Philippines’ National AML, CTF and Counter-Proliferation Financing Strategy 2023-2027, which was developed after the country was placed on the “grey list” by the Financial Action Task Force in June 2021 for failure to address certain deficiencies. Among the areas identified by FATF at the time was the need to continue strengthening AML/CTF controls around casino junkets and better sharing of information around various financial institutions.
According to information from the Philippines’ Anti-Money Laundering Council (AMLC), the Memorandum Circular calls for active participation in the Money Laundering/Terrorism Financing National Risk Assessment (ML/TF NRA) in order to strengthen the nation’s commitment to combat money laundering and terrorism financing.
More specifically it outlines outstanding action plans listed by FATF in order to be removed from the grey list and directs government agencies to review and assess their deliverables under these plans. It also establishes an ML/TF NRA Working Group with nine subgroups dedicated to different aspects of the NRA.
The AMLC has been named as the lead agency of this Working Group with the power to call on any government agency, bureau or office to provide assistance as required.
The Memorandum Circular also names 44 agencies, bureaus and offices, of which PAGCOR is one, among those required to follow the new directive.
As previously reported by IAG, the Philippines was initially given until January 2023 to convince FATF that it should be removed from a “grey list” of nations under increased monitoring for deficiencies in AML and CTF controls, but this was last year extended by 12 months until 2024.
The AMLC said this week’s directive from the Presidential Office “reflects the Philippines’ commitment to international standards in the fight against money laundering and terrorism financing, reiterating that the Philippines will not tolerate money laundering or terrorism financing and will cooperate in transnational investigations and prosecutions.”
