BVI has world class regulatory regime

by Oscar Ramjeet in Miami

The Managing Director and Chief Executive Officer of the BVI Financial Services Commission, Robert Mathavious told practitioners in Miami that the BVI maintains a world class regulatory regime and that the Territory demands high standards of integrity and sound financial management from all  licensees.

Mathavious who was speaking at the fifth road show for the Territory's financial sector said that the British Virgin Islands works hard at creating a genuine partnership of mutual trust between the private sector and the government so as to ensure the right environment for legitimate business.

The experienced MD/CEO who is well-known throughout the financial world said that "the BVI has shifted from regulation to supervision, focusing more on internal controls and risk management systems. We are now moving from over-reliance on off-site inspection of documentary evidence towards on-site compliance inspections".

He also disclosed that the FSC has set up a range of consultative committees, focus groups and taskforces with significant private sector membership, and said that the BVI is increasingly reliant on their input in shaping BVI programmes, policies and laws.

Mathavious told the 100 plus participants that although the FSC works closely with government and private sector, the FSC is independent and not part of government. He stressed that the Financial Services Commission Act established the Commission as an autonomous authority, with the task of regulating insurance, banking, trustee businesses, company management and mutual funds business and insolvency practitioners, as well as the registration of companies, limited partnerships, intellectual property and ships.

He said however, although the FSC is independent, "we are not a law unto ourselves. An autonomous Board of Commissioners supervises us. And we must provide annual accounts, work plans and periodical management reports to the BVI Legislative and Executive Councils for review and debate".

Richard Carpenter who delivered the feature address, spoke on the new BVI Business Companies Act which will come into force on January next year. He said after a two year transition period, the new Act will replace both the IBC Act and the current Companies Act which governs local companies. Carpenter explained that from January 1, 2007 all companies will be governed by the new Act and there will no longer be any distinction between "offshore" companies and companies carrying on business in the BVI.

The workshop which was well attended by delegates from the Caribbean and Latin America was declared open by Deputy Chief Minister and Minister of Finance & Economic Development Ronnie Skelton.

Skelton in welcoming delegates said that the road show was two fold: (a) to provide delegates with a comprehensive overview of recent developments in the financial services industry in the BVI and (b) to give a deeper appreciation of the diverse products and services the BVI offer.

The Deputy Chief Minister told the participants that a robust partnership exists between the private sector, the regulator and the Government of the BVI.