The Bureau of Customs’ (BOC) aggressive crackdown on illicit cash smuggling significantly contributed to the Philippines’ removal from the Financial Action Task Force (FATF) Gray List.
On February 21, the FATF officially delisted the Philippines from the watch list, acknowledging the country’s enhanced efforts in combating money laundering and terrorist financing.
The BOC’s intensified measures in 2024, which included deploying cash-sniffing dogs, upgrading baggage scanning systems, and expanding personnel training, resulted in remarkable improvements. Customs officials recorded a 455-fold increase in currency declarations and 194 seizures of undeclared cash. These actions helped elevate the Philippines’ standing in the international community, demonstrating the country’s commitment to global financial security standards.
Under the leadership of Commissioner Bienvenido Y. Rubio, the BOC also integrated customs clearance with the eTravel system, allowing for better tracking of cross-border cash flows. The implementation of state-of-the-art baggage scanners and the use of highly trained canine units improved the detection of suspicious and undeclared currency.
Moreover, the BOC’s focus on capacity-building, through extensive training programs on anti-money laundering and counter-terrorism financing protocols, played a crucial role in enhancing compliance. Intelligence-sharing initiatives with agencies such as the Anti-Money Laundering Council, Department of Information and Communications Technology, and Philippine Coast Guard further strengthened enforcement capabilities.
The BOC’s efforts in 2024 exceeded expectations, with cash seizures surpassing the total number of incidents over the previous decade. These proactive measures reinforced the Philippines’ commitment to international standards, ensuring that the country stays aligned with global regulations and is protected against illicit financial activities.
The FATF’s decision marks a significant milestone in the Philippines’ ongoing financial reforms.
