Phl exit from grey list to cut remittance fees

Overseas Filipino workers (OFWs) are expected to benefit from lower remittance fees following the removal of the Philippines from the Financial Action Task Force (FATF) grey list last February.

Presidential Communications Office Undersecretary Claire Castro, in a Palace briefing on Wednesday, 7 May, said President Ferdinand Marcos Jr. acknowledged those who were involved in addressing the action plan items set by the FATF’s International Cooperation Review Group in 2024.

In a separate statement by the Department of Migrant Workers (DMW) Secretary Hans Cacdac on Tuesday, he said that this would mean lower remittance fees for OFWs and more secure financial transactions.

“Aside from low remittances fees, the requirements for international money transfers will also be reduced allowing OFWs and businesses to have easier access to international financial transactions,” the statement read.

The improved standing of the country is also expected to ease restrictions on Philippine banks and financial institutions, allowing better access to international financial transactions.

The Philippines had been under monitoring by the FATF in 2021 due to deficiencies, including money laundering in casinos and weak enforcement on terrorism financing. The government responded with Executive Order No. 33, which established the country’s anti-money laundering, counter-terrorism financing, and counter-proliferation financing strategy for 2023 to 2027.