Manila: Individuals in the Philippines can now withdraw more than PHP500,000 or its foreign currency equivalent from banks without any delay, provided they present documents indicating where the funds will be utilized, the Bangko Sentral ng Pilipinas (BSP) announced on Tuesday.

According to Philippines News Agency, the BSP clarified that withdrawals made through traceable means or non-cash channels such as checks, online transfers, and bank transfers do not necessitate additional documentation. However, for cash withdrawals exceeding PHP500,000, customers must present documents that demonstrate the legitimate purpose of the withdrawal, such as a deed of sale or a hospital bill. This information was outlined in Circular No. 1218, Series of 2025, issued on September 18.

The BSP emphasized that the submission and review of these documents should be straightforward, ensuring that customers' access to their funds is not unduly delayed. This process is already part of the existing customer due diligence or know-your-customer procedures supervised by BSP-regulated financial institutions.

To ensure a uniform understanding and guide financial institutions in implementing the new regulation, the BSP has released Frequently Asked Questions (FAQs) on the topic. Additionally, stakeholder briefings have been conducted to facilitate the transition.

The BSP stated that the circular is designed not to burden or financially exclude legitimate businesses or transactions. Instead, it aims to reinforce existing measures against the use of cash for illegal activities, strengthen financial system integrity, and promote the use of traceable and efficient payment channels to protect both the public and financial institutions.