Issuu on Google+

New Paradigm for IFCs: New Products & New Markets Richard Stoneman 3rd Caribbean Conference on International Financial Services Sector, Nassau, April 1st


Last Conference in October 2012 Posed a few basic questions about the region’s International Financial Services Vision: Where are we going? Strategy: How will we get there? Need for a framework for regional action: The Task Force is a start But it must lead to coherent strategic action & institutional development New Products & New Markets, 1st April 2014

2


Where are we now? (18 months later) 

Still responding to international agenda of death through strangulation.

Need paradigm shift:  Recognise new world out there (Some do)  Start turning problems into opportunities  Not just survive, but prosper (Minister Pinder)  Innovation, competitiveness & creativity New Products & New Markets, 1st April 2014

3


London Symposium on 27th March: Saving Havens: Offshore, Onshore or Mid-Shore Some clues for the future? Large  

states at comparative disadvantage:

More risk and volatility Much more money laundering

Caribbean

at reputational disadvantage; yet its fundamentals are better Impact of IFCs on Trade & Development:  

Hong Kong & Singapore influence China growth? Dearth of regional IFCs a problem for Africa?

IFC’s

importance to cross-border capital formation New Products & New Markets, 1st April 2014

4


London Symposium (cont.): Some IFC Product Areas? 

Specialist Niches already – Need market research capability to identify new ones Regulation tailored for simplicity & stability 

 

E.g. US/French Pharmaceutical M&A transaction

Conduits: Trade & investment facilitation Wealth Protection (in a more turbulent world)

X Tax Evasion (tax competition OK, except EU) X Secrecy (but playing field needs levelling) New Products & New Markets, 1st April 2014

5


Imperatives for Regional Action: What? 

Advocacy: Must improve region’s reputation 

Demonstrate performing on fundamentals Explain how activities are socially & economically constructive Transparent about what do (Combat Guardian/NGO agenda)

Product & Market Research:  

New product niches, new market areas Complementing/servicing major centres New Products & New Markets, 1st April 2014

6


Imperatives for Regional Action: How? 

Upgrading human capital crucial:  

Advocacy & research even more important: 

Regional training centre back on agenda Globally competitive professional training required For survival and growth of industry

Institutional development cannot be delayed World-class international research & educational centre in the region is essential Must organise how we are going to do it New Products & New Markets, 1st April 2014

7


New paradigm for ifcs new products and new markets