Hamilton, Bermuda – The Bermuda Monetary Authority (BMA) hosted the ninth meeting of the Financial Policy Council (Council) at its offices in Hamilton, Bermuda on December , 2018.This was the first meeting haired by the new Minister of Finance, Curtis Dickinson.
The role of the Council is to assesss possible threats to Bermuda’s financial stability, and to identify policies and actions to mitigate or eliminate such threats. It also advises the Government on the development of the financial stability framework in Bermuda, and makes policy recommendations designed to support the general economic and financial well-being of the country. Members of the Council and the Minister, Sir Andrew Large (Deputy Chair), BMA CEO Jeremy Cox, Michael Butt, Dame Amelia Fawcett, Gil Tucker and Dr DeLisle Worrell.
At their meeting, Council members discussed recent international and domestic economic developments and assessed the impact these might have on Bermuda’s financial stability. Council members expressed concern about the potential impact that increased protectionism is having on the global economy. Members examined how these trends are impacting Bermuda and explored avenues to address these matters.
Members examined several global and domestic ttrends affecting banks in Bermuda. They discussed a menu of options aimed at ensuring that Bermuda continues to host a thriving banking ssector able to successfully meet the diverse needs of local households and business as well as of the large international financial sector including the newly emerging fintech sector.
Members were provided with an update on Bermuda’s regulatory and supervisory framework for fintech business. In particular, they gave advice on how Bermuda could ensure that it buildss a vibrant, innovative and well-regulated fintech sector in a manner that reinforces its reputation as a world class international financial centre.
Members reviewed and discussed two key recent reports, the Bermuda Tax Reform Commission Report and the 4th Fiscal Responsibility Panel Report. Members supported the Government of Bermuda in the preparation of these reports, and underlined the critical importance of the reports’ recommendations.
In addition, the following topics were discussed:
- Work underway in Bermuda aimed at successfully addressing the request of the European Union’s Code of Conduct (Business Taxation) Working group under the non-cooperative jurisdictions initiative
- Preliminary results of the island’s AML/CFT framework assessment carried out by the Caribbean Financial Action Task Force (CFATF) between September and October 2018, as part of the FAFT Mutual Evaluation Review programme
- Activities are underway within the Bermuda Government and the BMA with the development of a resolution framework for Bermuda banks that is aligned with international standards, in particular, the Financial Stability Board’s Key attributes for effective resolution
The Council’s next meeting is scheduled for April 2019.