SO many favourable comments about the quality of our regulatory regime from so many quarters might suggest that all major objections to the way in which we do business have now been countered. This, alas, is not the case and is never likely to be the case.
Island finance will, in practice, continue to be the focus of interest from outside parties eager to ensure that our standards remain high and that our methods of operation match widely agreed international norms. This year’s review by the International Monetary Fund, scheduled for October, is a prime example of this.
Recent events have also shown that various bodies in the UK remain intent on monitoring what happens here. Yesterday’s revelation that the Island is not yet on the ‘white list’ of international finance centres with acceptable anti-money-laundering machinery published on the UK Treasury’s website is a clear indication that we are still a cause for concern by at least some UK authorities.
The same can be said of the planned visit by members of the House of Commons Treasury Select Committee, though this can also be viewed as a golden opportunity for representatives of our industry and our regulators to meet highly influential people.
Omission from the ‘white list’, meanwhile, should not be viewed too pessimistically – even though competitor jurisdictions such as Hong Kong and Switzerland are already on it. As States adviser on international affairs Colin Powell has pointed out, it is likely that we do not yet have a place on the list because some EU member countries would like to know the outcome of the IMF review before they agree to that step being taken.
Mr Powell was also right to point out that the Island’s anti-money-laundering standards are as good and robust as those of jurisdictions that do have a place on the list. As the finance industry has grown in sophistication and scope our regulatory measures have steadily followed suit – for the very good reasons that without the assurance that they offer we would be both beyond the pale and uncompetitive internationally.
Eyes on the finance industry
SO many favourable comments about the quality of our regulatory regime from so many quarters might suggest that all major objections to the way in which we do business have now been countered. This, alas, is not the case and is never likely to be the case.
Island finance will, in practice, continue to be the focus of interest from outside parties eager to ensure that our standards remain high and that our methods of operation match widely agreed international norms. This year’s review by the International Monetary Fund, scheduled for October, is a prime example of this.
Recent events have also shown that various bodies in the UK remain intent on monitoring what happens here. Yesterday’s revelation that the Island is not yet on the ‘white list’ of international finance centres with acceptable anti-money-laundering machinery published on the UK Treasury’s website is a clear indication that we are still a cause for concern by at least some UK authorities.
The same can be said of the planned visit by members of the House of Commons Treasury Select Committee, though this can also be viewed as a golden opportunity for representatives of our industry and our regulators to meet highly influential people.
Omission from the ‘white list’, meanwhile, should not be viewed too pessimistically – even though competitor jurisdictions such as Hong Kong and Switzerland are already on it. As States adviser on international affairs Colin Powell has pointed out, it is likely that we do not yet have a place on the list because some EU member countries would like to know the outcome of the IMF review before they agree to that step being taken.
Mr Powell was also right to point out that the Island’s anti-money-laundering standards are as good and robust as those of jurisdictions that do have a place on the list. As the finance industry has grown in sophistication and scope our regulatory measures have steadily followed suit – for the very good reasons that without the assurance that they offer we would be both beyond the pale and uncompetitive internationally.
Article posted on 29th May, 2008 - 3.00pm