AMLC seeks increased monitoring of FX declarations

June 13, 2022 Philippines Crime & Legal

To avoid cash smuggling, the central bank-led Anti Money Laundering Council (AMLC) is proposing for increased monitoring of travellers’ foreign currencies (FX) declarations that enter and exit the country.

AMLC said the Philippines is at a higher risk of becoming a source of illicit funds unless FX declarations are made more granular and the reporting process is improved.

Despite that both the Bangko Sentral ng Pilipinas (BSP) and the Bureau of Customs (BOC) already work hand in hand in detecting money laundering/terrorist financing (ML/TF) activities for the inbound and outbound FX flows, there are still concerns about bulk-cash smuggling.

In an April 2022 study conducted by the AMLC which is a review of FX and other foreign-denominated monetary instruments that enter the country via international gateways such as airports and seaports, it said that money “transported into and out of the country as well as the frequency of these large-value transactions magnify the need to examine the prominent trends and patterns that may aid in the early detection of ML/TF threats originating overseas.”