Manila: Malaca±ang on Wednesday hailed the European Union's (EU) decision to remove the Philippines from its list of 'high-risk third countries' for money laundering and terrorist financing, saying it is a strong signal of growing international confidence in the country's financial system. Palace Press Officer Claire Castro said the development reflects the Marcos administration's continuing push to strengthen financial safeguards and attract more foreign capital.

According to Philippines News Agency, Castro emphasized that the anti-money laundering and counter-terrorism financing measures in the country are becoming stronger. She noted that President Ferdinand R. Marcos Jr. has directed the Bangko Sentral ng Pilipinas (BSP) to intensify reforms that would further reinforce the banking system and spur economic growth.

The European Commission on June 10 approved a regulation removing the Philippines and seven other countries from its high-risk list, with the measure taking effect on Aug. 5. The delisting follows earlier milestones this year - the Financial Action Task Force (FATF) lifted the Philippines from its 'gray list' in February and the United Kingdom dropped Manila from its high-risk roster in March.

The Philippines had been placed on the FATF gray list in June 2021, which led to its inclusion in the EU and UK advisories. This meant the country was subjected to stricter customer due diligence measures by banks and business entities in member states.

According to the BSP, the EU's decision is a clear sign that the administration's reforms are delivering results. Castro reiterated that this development signals the effectiveness of the Marcos administration's measures to enhance international investor confidence in the country.

She stressed that the central bank would continue pushing long-term anti-money laundering reforms to sustain the country's progress. Castro affirmed that the BSP will continue strengthening these reforms for the nation's long-term advancement.