Download Expand Into Value Added Services

Industry Developments
• 2008 Economic & Financial Crisis changed the Rules
• Pressures on small IFCs, particularly British OTs and CDs
• Greater transparency
• New regulatory environment driven by EU, OECD, G7
• Product legislation/ new structure
• Increasing competition from onshore & offshore
• BVI and IFCs under fire - political, media, NGOs
• Substance based services – the value proposition
BVI Response
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Private-Public discussions began - since 2012
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McKinsey & Co hired - August 2014
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Implementation of Recommendations
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Delivery Infrastructure in Place
– Steering Committee chaired by Premier
– Initiative Working Teams with Initiative Sponsor
– Delivery Unit
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BVI Forward Launched
Objective
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Best in Class Enabling Mechanisms
– Marketing & Promotion
– Business Development
– Supporting Public Services
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Expand Into Value Added Services
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Attract & Retain Top Talent
Build Substance
Develop Infrastructure
Build BVIslander Capabilities
Remain Leader in Core Business- Incorporations
– International Reputation
– Strengthen Regulator Service
Best In Class Enabling Mechanisms
NEW Marketing & Business
Development
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Q1 2017, BVI Finance Limited (BVIFL), a Private-Public
Partnership, to lead Promotion & Business Development
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Private Sector Board with Government representation will
increase Competitiveness and Responsiveness to Market
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Greater independence to represent the industry and to
safeguard the reputation of BVI
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A Strategic Business Plan developed for the period 2017 to
2020.
Best In Class Enabling Mechanisms
NEW Financial Services Unit
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A Financial Services Function Established in Premier’s Office;
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Greater Collaboration and Synergy between Government,
Regulator and Industry
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Facilitate faster legislative developments for business;
 Structure
 Limited Partnership Act
 Beneficial Ownership
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Faster and more robust response to reputational issues and
public position on key issues.
Best In Class Enabling Mechanisms
New Business Development Director
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New Director of Business Development comes with a wealth of
Financial Services experience;
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Match our competitors in getting industry requirements to
market quickly by working collaboratively with BVIFL and the
Attorney General
Capital Economics Study
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Establish the contribution of BVI financial services to the
global economy
Best In Class Enabling Mechanisms
New Capability Building Focus
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A Memorandum of Understanding between Government and
Industry provides efficient mechanism to facilitate the development
of BVIslander talent and capability
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The Financial Services Institute (FSI) has been retooled with the
programme and resources to deliver world-class certifications and
training programmes;
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A number of key programmes will be launched in 4Q2016 and
1Q2017:
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Mentorship Programme - a vehicle for young people to
connect with industry persons;
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Work Experience Programme – which will focus on
providing young people with opportunities between school
terms
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Financial Services Entrepreneurship Training –
training entrepreneurs in opportunities in and related to
financial services;
Expand Into Value Added Services
New Value-Added Services Identified
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Legal Sector – Setting up and expanding investments in the legal sector to grow it into a centre of
excellence in law;
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Family Offices and small Corporate Headquarters - attracting operations in the Territory;
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Green-Tech - attracting operations to the Territory and supporting our development as a green
economy;
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Environmental and Research based Companies - attracting up operations in the Territory and
capitalize on our environmental assets for research purposes
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E-commerce businesses – services that support our existing financial services offering, introduce
new services and capitalize on our developing telecommunications infrastructure.
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Other Financial Services sectors, including - fund administration, brokerage services,
investment and fund management services, investment banking, financial trading (including
foreign exchange, securities and derivatives). Captive insurance or reinsurance management
services, reinsurance underwriting, actuarial services, insurance claims management, hedge fund
administration, and any new/pioneering industry
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Services associated with Special Economic Zones – any category of service identified to be part
of a Special Economic Zone such as environment, maritime, etc.
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Services associated with the development of the Business Infrastructure
Expand Into Value Added Services
Investment Policy
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This policy will facilitate the expansion and diversification of a
substance based economy by making it more attractive for
businesses to be based in the BVI;
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The policy will address the substance and transparency
issues demanded of the international standard setters
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Substance/value added services are the new direction
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The policy will facilitate attracting the new areas we are
seeking to develop, particularly in the area of greater
substance as we seek to diversify and grow them;
Expand Into Value Added Services
New Investment Policy
The following list of targeted areas are by no means exhaustive but is
believed to give the BVI a unique competitive advantage:
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Attracting Small Corporate Headquarters and Family Offices;
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Increasing the practice of BVI Law through cutting edge Legislation;
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Attracting Green-Tech and Environmental Research Companies to
set up operations in the BVI;
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Attracting E-Commerce operations to be based in the BVI;
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Attracting Maritime Companies to set up operations in the BVI;
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Expanding and growing other Financial Services Sectors like
Insolvency;
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Service and products associated with Special Economic Zones;
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Services and products associated with the development of the
tourism sector;
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Services and products that link to tourism and financial services
sector;
Expand Into Value Added Services
Investment Policy
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Assignment of an Investment manager as a single point of
contact and guidance;
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Including spouse and dependent children in Immigration
Entry Clearance provision;
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Access to investment incentives under the relevant
incentives legislation;
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Extended Immigration Entry Clearance based on the type of
investor and investment;
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Extended Work Permit Clearance based on the type of
investor and investment;
Expand Into Value Added Services
New Investment Policy
Amendments will be made to the Immigration and Passport Act
2013 to make provisions for:
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Business Visitor Entry;
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Qualified Investor Entry under the Investment Policy;
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Persons entering the Territory for the purpose of engaging in
activities in proposed economic zones;
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A single consolidated form for both Immigration and Labour
work and entry processing to speed processing
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Qualified Investor Categories added to the law
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Online application and fee processing;
Expand Into Value Added Services
Infrastructure
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BVI Airways has been contracted to offer direct flights
between Miami and Tortola by December 2016;
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Discussions are taking place with ferry operators, BVI Ports
Authority, the Government and other key public and private
stakeholders for the purpose of improving the quality and
reliable ferry service between the BVI and USVI;
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Telecommunications Regulatory Commission (TRC) has
signed spectrum agreements with the three service providers
in the Territory will allow them to deliver high speed mobile
broadband services using LTE technology;
Remain Leader In Core Business
Incorporations, Tax and Transparency
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Updated Anti-Money Laundering Legislation;
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Common Reporting Standards (CRS) signatory;
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Developing a strategy for the BEPS Initiative;
Remain Leader In Core Business
Incorporations Financial Services
Commission
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VIRRGIN Lite introduced on September 7 2016. Facilitates
use of VIRRGIN by HK users for conducting company
searches and name reservations
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All certificates can now be printed in HK
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Legislation passed for the establishment of a Financial
Services Appeal Board;
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To launch VIRRGIN 3 for improved license interactions by
automating the processing of regulatory forms, reports and
processes.
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Registry User Council to be established
A New Era In Financial Services
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Stronger and Focused Promotion and Business Development
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Coordinated and Collaborative management of the Industry
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Accelerated Business Development
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Strengthened Talent and Capability
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Greater Substance with Value-Added Services
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Investment Policy & Facilitation of Investment
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Investor and Business Friendly Labour and Immigration Policies
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Enhanced Infrastructure
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Strong Regulation and Compliance