The Bangko Sentral ng Pilipinas (BSP) said the Philippines’ removal from the European Union’s (EU) list of high-risk third countries reinforces the credibility of its financial system and reflects the government’s sustained efforts to combat illicit finance.
The EU decision, effective June 10, 2025, follows earlier delistings by the Financial Action Task Force (FATF) in February and the United Kingdom in March, marking the third time this year the Philippines has cleared its name from international high-risk lists.
BSP Governor Eli M. Remolona Jr., who also chairs the Anti-Money Laundering Council (AMLC), said the recognition affirms that reforms implemented in recent years are gaining traction.
“The BSP remains firmly committed to driving financial sector reforms, strengthening anti-money laundering/countering terrorism and proliferation financing (AML/CTPF) supervision, and building a resilient, inclusive financial system that supports economic growth and global confidence,” Remolona said in a statement.
He stressed that while international recognition is positive, regulators continue to identify gaps and adopt new measures to strengthen oversight, ensure effective monitoring, and align with evolving global standards on financial integrity.
The EU cited improvements in the effectiveness of the country’s AML/CTPF regime and the resolution of technical deficiencies previously flagged by the FATF. These include enhanced coordination among regulatory agencies, improved monitoring of suspicious transactions, and stricter reporting requirements for covered institutions.
The BSP said exiting watchlists will not only improve the Philippines’ standing in the global financial community, but also bring tangible benefits to businesses and individuals.
With the country no longer tagged as high-risk, banks and other financial institutions abroad are expected to view transactions with local counterparts more favorably, potentially reducing compliance costs, smoothing correspondent banking relationships, and lowering fees for overseas remittances.
The BSP and AMLC said they will continue strengthening regulatory enforcement and coordination with law enforcement and other government agencies.
Authorities are also preparing to adopt digital tools and risk-based supervision to keep pace with increasingly complex financial transactions.
