A LEADING business group is suggesting that the States should be using its ‘rainy day’ funds to make longer-term investments.
Gary Drinkwater, the new president of the Jersey branch of the Institute of Directors, says the Island should follow the example of some other finance centres, such as Dubai and Singapore, who are investing their ‘sovereign’ funds in international businesses to provide revenue for the future.
Mr Drinkwater, who is senior corporate banking manager at HSBC, said he had already discussed with States Treasury Minister Terry Le Sueur the possibility of making longer term investments from the strategic reserve, which at the end of last year totalled £510 million. In addition in 2006 the States set up a stabilisation fund, which now stands at £72 million.
This year the IoD will be setting up a new committee to investigate ideas that they will then be putting forward for further consideration by Economic Development.
Mr Drinkwater (pictured) added that its membership of 600 had a wealth of experience to offer the community and each other, particularly in the face of international challenges for which the Island needed to plan.
One Article Comment
i hope he gave more details than just ‘longer-term’! just dont put all the money in one place and dont look for unreasonable returns. a 3% real return is all that should be expected from ‘long-term’ investments.