New strategy bared to remove PH from FATF gray list

From the Philippine News Agency (Jul 6, 2023): New strategy bared to remove PH from FATF gray list (By Ruth Abbey Gita-Carlos)

MANILA – President Ferdinand R. Marcos Jr. has approved the implementation of a new strategy to contain money laundering, terrorism financing and proliferation financing.

Marcos on Tuesday signed Executive Order (EO) 33, ordering all government offices and departments to adopt the National Anti-Money Laundering, Counter-Terrorism Financing, and Counter Proliferation Financing Strategy (NACS) 2023-2027.

The implementation of the NACS 2023-2027 will enable the Philippines to address the International Cooperation Review Group (IGRG) Action Plans and ensure that the country exits the Financial Action Task Force (FATF) Gray List.

EO 33 directs all government departments, agencies, bureaus, and offices, including government-owned or -controlled corporations, to formulate and implement relevant strategy plans and programs to execute the NACS 2023-2027.

All local government units are encouraged to come up with similar strategies.

According to EO 33, it is imperative to adopt a new national strategy, given the expiration of the National Anti-Money Laundering and Countering the Financing of Terrorism Strategy (NACS) 2018-2022 implemented by virtue of EO 68 issued in 2018.

“This is part of the government's efforts to move the Philippines out of the Grey List of the FATF’s ‘Jurisdictions Under Increased Monitoring’ of countries that failed to show tangible and positive progress in addressing all key recommended actions in the Third Mutual Evaluation Report (MER),” the EO said.

EO 33 renames the new strategy, considering the noted deficiencies in the matter of proliferation financing.

It also authorizes the National Anti-Money Laundering and Countering the Financing Strategy Coordinating Committee (NACC) to reorganize its sub-committees.

This, after the new EO ordered the creation of sub-committee on proliferation financing.

The Terrorism Financing and Proliferation Sub-committee will be reorganized into two separate sub-committees, namely the Terrorism Financing Subcommittee and the Proliferation Financing Subcommittee.

Under EO 33, the National Intelligence Coordinating Agency (NICA), given its mandate in intelligence gathering, will serve as the new member of the NACC.

EO 33 directs the NACC “to cover as well activities related to countering proliferation financing.”

Based on the EO, the NACC chairperson and vice chairperson will be the Executive Secretary and the Bangko Sentral ng Pilipinas governor who concurrently leads the Anti-Money Laundering Council (AMLC).

NACC members include the heads of the departments of Foreign Affairs, Finance, Justice, Defense, Local Government and Trade; Securities and Exchange Commission; Insurance Commission; Philippine Amusement and Gaming Corporation; Cagayan Economic Zone Authority; Aurora Pacific Economic Zone and Freeport Authority; and the NICA.

On top of the powers and authority vested in NACC under EO 68, the council is also mandated to facilitate inter-agency coordination for the development of national policies against money laundering, terrorism financing, and proliferation financing, in accordance with the existing laws and international standards.

The NACC must also ensure the effective and efficient implementation of the NACC 2023-2027 by providing directives to concerned agencies on major issues on the implementation of the new strategy and monitoring the formulation and implementation of relevant strategy plans and programs.

https://www.pna.gov.ph/articles/1205020