The Philippines aims to launch a business beneficiaries registry in 2025 to avoid being placed again on the 'gray list' of the Financial Action Task Force on Money Laundering (FATF). This was reported by BusinessWorld.
Why do the Philippines need to create a beneficiaries register?
The Philippines Securities and Exchange Commission is preparing for large-scale reforms aimed at preventing the country from being placed back on the FATF "gray list." In particular, the reforms are focused on strengthening control over beneficial ownership.
As Schmidt & Schmidt previously reported, the FATF plenary week in Paris has concluded, during which changes were made to the so-called "gray list." The Philippines, which had been on the list since 2021, was removed from the "gray list" of jurisdictions under enhanced monitoring. The country successfully implemented the FATF action plan to address shortcomings in its anti-money laundering, counter-terrorism financing, and weapons of mass destruction proliferation systems. It demonstrated significant progress in these areas, which served as the basis for removing the enhanced monitoring measures. At the same time, Laos and Nepal were added to the "gray list" and will now need to address the identified strategic deficiencies.
The next two years will be crucial as the Philippines prepares for another mutual evaluation,
said Emilio Aquino, Chairman of the Securities and Exchange Commission, to the journalists.
According to him, the Philippines' anti-money laundering efforts will be assessed for compliance with global standards in this area.
Failure to address identified risks, such as gaps in beneficial ownership transparency..., could increase the risk of being placed back on the 'gray list'
emphasized the official.
What will the beneficiaries register in the Philippines entail?
The Securities and Exchange Commission states that it continues to collaborate with other authorities in the fight against money laundering and other illegal financial activities.
The Commission plans to launch in 2025 the so-called Hierarchical Applicable Relations and Beneficial Ownership Registry (Project HARBOR). According to the Commission, it will become 'a registry of beneficial ownership information that will be easily accessible to partner agencies through data-sharing agreements.
The capabilities of the HARBOR project will include automatic data verification, customizable access levels for authorized users, and analytical tools to identify complex ownership structures,
the agency notes.
The goals of creating the registry include: increasing transparency, complying with global anti-money laundering standards, and optimizing access to information about the ultimate beneficial owners of companies.
The HARBOR project will modernize our method of managing data on beneficial owners, reducing manual intervention and ensuring a secure and efficient process of information disclosure,
emphasized Aquino.
What is a trade registry?
In our video we explain the definition and function of a commercial register and how you can verify the reliability and solvency of your foreign business partner.
Should you wish to check the sincerity of your foreign business partner’s request, Schmidt & Schmidt will gladly assist you.
We offer extracts from the commercial registers of more than 100 different registers in countries spread all around the globe. Additionally, we offer annual statements for a variety of companies. The original extract from any commercial register can be sent to you by mail or as a pdf-file via e-mail. Besides that, commercial register extracts can be authenticated with an apostille.
How Can We Help?
At Schmidt & Schmidt, we understand the importance of transparency and compliance in international business. If you need to verify the beneficial ownership of a company or check the legitimacy of a business partner, we can assist you. We provide official commercial register extracts from over 100 jurisdictions worldwide, ensuring you have access to reliable and up-to-date corporate information. Additionally, our services include legalization and apostille certification, making documents legally valid for international use.
Whether you are conducting due diligence, mitigating risks, or ensuring compliance with regulatory requirements, our expertise will help you make informed decisions with confidence.
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