Monday July 26, 2010

During a Westminster Hall Debate on Offshore Financial Centres in London yesterday, the Financial Secretary to the United Kingdom (UK) Treasury, Mr. Mark Hoban MP, welcomed the Virgin Islands’ place on the Organisation of Economic Co-operation and Development’s (OECD) ‘White List’.

During his Ministerial response, Mr. Hoban said, “The BVI is part of the OECD White List and we welcome the fact that Offshore Financial Centres are keen to make steps to appear on that list and would encourage more of them to do so.”

He continued, “I recognise the importance these centres can play. They are an important contributor to the City of London, they provide services to UK citizens, whether at home or abroad, but it is absolutely vital that they comply to the highest international standards around transparency, about tax, dealing with terrorist financing and money laundering, and I think adhering to those standards would be the best safeguard for their future prosperity.”
The Financial Secretary made these remarks in response to an intervention from the new Chair of the All Party Parliamentary Group on the British Virgin Islands (BVI), Mr. Mark Pritchard MP.

Earlier in the debate, Mr. Pritchard explained, “Offshore centres like the British Virgin Islands, who are on the OECD White List and the OECD Peer Review Group, have set the trend in many ways on the issue of transparency and this is something the
British Government should recognise. They should also recognise that these centres help rather than hinder the UK economy.”

The debate was organised by Mr. Mark Field, the Member of Parliament for the City of London and Chair of the All Party Parliamentary Private Equity and Venture Capital Group.

In response to the statement made by the UK Financial Secretary, the Executive Director of the International Finance Centre, Ms. Sherri Ortiz commented: “We welcome the positive statements made by Mr. Hoban about the role international finance centres play in the wider global economy and we are particularly grateful for the intervention by Mr. Pritchard on the BVI and our elevation to the ‘White List.’ The endorsements are a testament to the BVI’s well recognised regulatory platform and its commitment to keep pace with developments in international standards.”

The Territory committed to the OECD’s principles of transparency and effective exchange of information in 2002 and secured its place on the OECD’s ‘White List’ by surpassing the number of Tax Information Exchange Agreements required by the organisation.

The mission of the Organisation of Economic Co-operation and Development is to bring together governments of countries committed to democracy, to support sustainable economic growth, maintain financial stability, contribute to growth in world trade and to assist other countries’ economic development.

The BVI International Finance Centre is responsible for the marketing of the Virgin Islands’ Financial Services Industry and promoting the Territory’s reputation as a globally integrated and responsible financial services centre.