Financial Crime World

Philippines Enacts New Anti-Money Laundering Regulations to Strengthen Fight Against Financial Crime

The Philippine government has strengthened its anti-money laundering (AML) regulations with the passage of Republic Act No. 11521, an amendment to the country’s flagship AML law, Republic Act No. 9160. This move aims to enhance the country’s ability to combat financial crimes and prevent the misuse of the financial system.

Key Provisions of the New Law

The new law amends several provisions of the original Anti-Money Laundering Act of 2001, including:

  • Reporting and record-keeping requirements for banks and other financial institutions
  • Introduces new penalties for non-compliance with AML regulations, including fines and imprisonment

History of AML Regulations in the Philippines

The Philippines has a long history of implementing AML regulations, dating back to Republic Act No. 9160 in 2001. Since then, the law has been amended several times to reflect changes in international standards and best practices.

Implementing Rules and Regulations

In addition to the new law, the Bangko Sentral ng Pilipinas (BSP), the country’s central bank, has issued implementing rules and regulations for AML compliance. The BSP has also designated certain businesses as “covered persons” under the AMLA, including:

  • Casinos
  • Other gaming establishments

Connection to Combating Terrorism Financing

The Philippines’ AML efforts are closely tied to its efforts to combat terrorism financing. In 2018, the government passed Republic Act No. 10168, which criminalizes the financing of terrorism and provides penalties for those who engage in such activity.

International Recognition and Cooperation

The country’s anti-money laundering regulations have been recognized by international organizations as being in compliance with global standards. The Philippines has also signed agreements with other countries to share information and cooperate on AML efforts.

Conclusion

Overall, the passage of Republic Act No. 11521 is seen as a significant step forward in the Philippines’ efforts to combat financial crime and protect its financial system from abuse.