This article discusses the challenges faced by offshore financial centres, such as Gibraltar, due to increased regulation and scrutiny, particularly in the context of “know your customer” (KYC) procedures. It highlights the additional paperwork and costs associated with compliance efforts, driven by international organisations like the International Monetary Fund (IMF) and the Financial Stability Forum.
The then-Financial Services Commissioner of Gibraltar, Marcus Killick, engages in an imaginary conversation with the IMF’s managing director, Rodrigo de Rato, questioning the need for a second round of assessments by the IMF, considering the substantial resources and time involved. Killick argues that offshore financial centres have made significant progress in complying with international standards and that the focus should be on cooperation and addressing weaknesses rather than redundant assessments.
The article underscores the need for a more efficient approach to regulation and cooperation in the global financial industry.
Read the article: A Regulators Dream
(Article first published in The Gibraltar Magazine, 2006.)
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