The International Monetary Fund (IMF) urged the Philippines to amend its bank secrecy law to avoid renewed scrutiny from global financial regulators.
The IMF stressed the need for stronger measures against money laundering and the financing of terrorism.
In its recent country report, the Washington-based institution said the Philippines must align with evolving international standards ahead of its next Financial Action Task Force (FATF) mutual evaluation in 2027.
As of September 2025, several bills amending the Bank Secrecy Law have been filed in the Senate, including Bills Nos. 10476, 2327, 1508, and 389.
A similar measure in the House of Representatives would allow the Bangko Sentral ng Pilipinas (BSP) to examine bank deposits, including foreign currency accounts, under strict conditions when there is reasonable suspicion of illegal activity.
The House version of the bill has already passed its third reading.
“Amendments to the Bank Deposits Secrecy Laws in line with international good practices should be pursued to enhance the BSP’s supervisory powers and strengthen AML/CFT supervisory effectiveness,” the IMF said.
The fund also recommended improving the identification and prosecution of terrorism financing cases, enhancing investigations into crypto assets, and updating the national AML/CFT strategy after the ongoing National Risk Assessment.
The call for reforms follows the country’s removal from the FATF gray list last year, nearly four years after the 2016 Bangladesh Bank $81-million cyberheist and subsequent laundering of proceeds through Philippine casinos.
The gray listing had previously threatened to disrupt cross-border transactions and increase remittance costs, affecting millions of Filipino households reliant on foreign remittances.