Guernsey has been ranked 16th in the latest Global
Financial Centres Index (GFCI).
The Island has moved up three places from the last report which
was published in March. Jersey has risen by two places to reach
Dublin (13th), Jersey (14th), Luxembourg
(15th) and Guernsey (16th) have all been
given a rating of 622 and are only split by the decimal places.
Guernsey's rating is up 19 points while Jersey is up 15 from
the March report.
"Our significantly improved ranking from this respected
authority is a major endorsement of Guernsey as a leading
international finance centre during these difficult economic
times," said Peter Niven, Chief Executive of Guernsey
"It lends further weight to our belief that the Island is
better placed than others to weather the current economic storm. In
particular, it reinforces the evidence from the banking and funds
statistics that Guernsey is closing the gap on our competitors such
The new ranking follows hot on the heels of Guernsey being named
'International Finance Centre of the Year' at last
week's STEP Private Client Awards 2008/9 and the publication of
the FT's 'Doing Business in Guernsey' special
report where headlines included 'Holding its own against bigger
rivals' and 'Sector stays on course in global
Mr Niven added: "Our improved ranking also reflects the
fact that since the last report we have enhanced our offering to
clients through the introduction of a new Trust Law, new Company
Law and new Company Registry, while also stepping up our
promotional and marketing activity both in existing markets like
London as well as new jurisdictions such as China."
The report is produced by the Z/Yen Group for the City of London
and ranks financial centres based on external benchmarking data and
current perceptions of competitiveness.
The latest version comments on how small financial centres such
as Guernsey are proving so competitive against bigger rivals:
"It is notable that the tax environment is now being mentioned
as a crucial area of competitiveness...There are other reasons why
relatively small financial centres are very competitive. Speed of
decision making and a coherent regulatory regime are increasingly
seen as important."
The Isle of Man has also risen by two places to reach
19th position with a rating of 611. The Cayman Islands
is now 21st, Dubai 23rd, Gibraltar
25th and British Virgin Islands 29th.
London remains first but has had its lead cut by second-placed
Probably the most significant change from previous practice in Guernsey law under the Companies (Guernsey) Law 2008, which came into effect on the 1 July 2008, was the consignment to history of the concept of capital maintenance, which was discarded in favour of a solvency model as the basis of a company’s ability to pay distributions and dividends.
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