[
Back to Jersey
Review Index ]
At
a time of increasing international scrutiny for
international finance centres as a result of the
global financial crisis, leading jurisdictions
such as Jersey with a solid reputation and a sound
regulatory pedigree have emerged in a stronger
position.
Recognised
through a series of independent assessments for
the quality of its supervisory and regulatory
capabilities, Jersey has been able to use these
endorsements to add further momentum to its international
drive to build business both in traditional markets
such as London and further afield, for example,
in the huge emerging economies of the Greater
China region and India.
There
have been a number of developments since 2009
which have reinforced Jersey’s reputation
for probity and international co-operation. They
include:
-
Its inclusion on the OECD ‘white list’
of jurisdictions, which meet the international
standard on tax matters
-
Praise by the United Kingdom Treasury for leading
the way in establishing Tax Information Exchange
Agreements
- The
IMF 2009 assessment which ranked Jersey as the
best for regulatory and supervisory practices
ahead of 120 jurisdictions including the UK
and US
-
The positive report for Jersey in the Review
of British Offshore Financial Centres by HM
Treasury in November last year.
-
Its placing as the highest rated offshore international
finance centre in the most recent competitive
ranking in the Global Financial Centres Index.
The
endorsements continue. In 2010 Jersey has been
voted the top international finance centre at
the annual International Fund and Product Awards
and the jurisdiction also won the Society of Trust
and Estate Practitioners (STEP) Award for best
‘International Finance Centre of the Year’.
The
evidence to date in 2010 is that the status Jersey
enjoys within the global financial services industry
is helping the jurisdiction to once more attract
new business as the world markets emerge from
the recession.
The
latest Finance Industry figures from Jersey show
that at the end of the first quarter of 2010,
there had been a significant increase in bank
deposits booked in the jurisdiction for the first
time since December 2008. The total number of
deposits stood at £177. 6 billion, a 7.5%
increase on the previous quarter. Company incorporations
were also at their highest level since June 2008
with more than 700 companies incorporated in the
first quarter of 2010, a net increase in the same
period of more than 300 new companies.
Enduring
success
Jersey’s
enduring success as an international finance centre
has long been built on the quality of its banking
service capabilities, its experience as a centre
for funds business and its support of wealth management,
trust and estate planning strategies.
If
we examine the critical success factors for an
international finance centre, it is apparent that
Jersey delivers on all the necessary criteria.
A jurisdiction needs a government that is responsive
to the international markets and demands placed
upon it. There is also a need for robust regulation,
appropriate legislation and the capability to
amend or enhance the rules and laws that govern
the financial services industry quickly but prudently.
It is important that there is a strong skills
base and an abundance of experience in banking,
legal, administration, wealth management and fund
services so that it is possible to provide investors
with a one stop shop for their needs. There is
a need for a wide range of quality providers including
many of the world’s largest financial organisations.
Jersey has also shown its commitment to transparency
while ensuring that legitimate clients maintain
their right to their financial information remaining
confidential.
Such characteristics appeal to all the major financial
centres and has been helpful for Jersey in developing
business ties in regions of the world where the
jurisdiction is less well known such as in India
and the Greater China region. Jersey Finance has
hosted a number of delegations to these regions
in recent times to help explore for doing more
business in these locations.
Last
year Jersey Finance opened an office in Hong Kong
to cement its growing business connections in
the region and to act as a hub for further business
growth across Asia Pacific. In a further significant
development, Jersey companies have also been approved
for listing on the Hong Kong Stock Exchange, a
move which demonstrates how the market in Asia
views the quality and robustness of Jersey Company
Law.
Jersey
based professionals are learning also how they
can assist Indian firms with their international
expansion plans and wealth creation through an
ongoing programme of visits to the region. Jersey
Finance is supporting the efforts of the Jersey
regulatory authorities in developing relationships
with the Indian finance industry regulators, the
Reserve Bank of India and Securities Exchange
Board of India to assure them of our exemplary
regulatory standards.
Hallmark
A
hallmark of Jersey’s success over the long
term has been its ability to evolve and tailor
its financial services to meet the demands of
the international marketplace. To do this effectively
there is a close working relationship between
government representatives and finance industry
practitioners, alongside a regulatory authority
that appreciates that while supervision needs
to be of a high standard, rigorous and robust,
the regulatory regime also needs an element of
flexibility.
It
is Jersey’s intention to build on its global
recognition as a compliant and well regulated
jurisdiction and to ensure that the world’s
key financial markets are kept abreast of the
breadth of banking, funds and wealth management
services that Jersey’s finance industry
provides to financial intermediaries, lawyers,
accountants, private clients and their advisers
across the world.
[ Back to Jersey
Review Index ]
|
