Financial Crime World

Corruption Remains Major Obstacle to Development: Philippines Steps Up Efforts to Combat It

Introduction

Corruption remains a significant hurdle to development globally and in Southeast Asia. In an effort to combat corruption, the Philippines has taken a crucial step forward by hosting a workshop with the United Nations Office on Drugs and Crime (UNODC) and the Presidential United Nations Convention against Corruption (UNCAC) Inter-Agency Committee Secretariat.

The Battle Against Corruption

“The battle against corruption is not a solo endeavor. It requires collective will, international partnership, and expertise to drive change,” said UNODC Regional Anti-Corruption Advisor for Southeast Asia Annika Wythes. The workshop brought together experts from around the world to review UNCAC implementation in the Philippines, identify areas requiring attention, and generate actionable recommendations for more effective anti-corruption efforts.

Key Areas Requiring Attention

The workshop highlighted several key areas that need attention, including:

  • Increasing anti-money laundering measures to exit the Financial Action Task Force (FATF) gray list
  • Amending extradition legislation
  • Regulating virtual asset providers
  • Strengthening beneficial ownership transparency
  • Enhancing public procurement and audits
  • Addressing challenges related to bank secrecy
  • Providing whistleblower protection
  • Reviewing compliance with income and asset declarations
  • Ensuring freedom of information
  • Facilitating non-State actor engagement in decision-making processes

Progress Made by the Philippines

Despite some challenges remaining, such as legislation on whistleblower protection and measures against bribery in the private sector, the Philippines has made progress in areas like:

  • The Government Procurement Policy Board’s Online Blacklisting Portal
  • The development of a code of ethics for procurement officials

These achievements demonstrate the country’s commitment to setting higher standards in the fight against corruption.

UNCAC: A Legally Binding Universal Anti-Corruption Instrument

The United Nations Convention against Corruption (UNCAC) is the only legally binding universal anti-corruption instrument, with 190 States Parties, including the Philippines. The Philippines has undergone two review cycles under UNCAC’s Implementation Review Mechanism, focusing on:

  • Criminalization and law enforcement
  • International cooperation
  • Preventive measures
  • Asset recovery

Conclusion

The workshop was funded by the Ministry of Justice of the Republic of Korea in its support for further UNCAC implementation in Southeast Asia. The event is seen as a crucial step forward in the Philippines’ anti-corruption efforts, with experts hoping to leverage their collective expertise and experience to drive change and improve societies around the world.