Sunday, December 15, 2019

International Co-Operation

International Co-Operation

It is the responsibility of the Authority to consider international initiatives geared towards establishing legal business and regulatory standards relating to financial services business. International cooperation in the form of exchange of information and mutual assistance between regulators is of paramount importance in the increasing globalisation of financial services business to ensure   the reduction of cross border financial crime and to ensure that the integrity of the international financial system is preserved.

As a result, the FSA is member of the International Association of Insurance Supervisors (“IAIS”) in respect of insurance business and is an associate member of the International Organisation of Securities Commission’s (“IOSCO”) Objectives and Principles of Securities Regulation. The FSA is currently engaged in the process of becoming signatory to both the IAIS and the IOSCO Multilateral Memoranda of Understanding (“MMOUs”) in respect of cooperation and the exchange of Information.

The Seychelles is also committed to the work of the OECD’s Global Forum on Transparency and Exchange of Information for Tax Purposes (this includes Automatic Exchange of Information (AEOI) and Exchange of Information on Request (EOIR)) and the OECD/G20 Inclusive Framework on Base Erosion and Profit Shifting (BEPS). On 24th January, 2019, the OECD approved the Progress Report on its assessment of harmful tax practices of 57 preferential tax regimes, in 24 jurisdictions whereby Seychelles is featured as having met the requirements of Action 5 of the BEPS standard.

On a regional level, the FSA is a member of the Committee of Insurance, Securities and non-banking financial authorities (CISNA) which is a part of the Trade, Industry, Finance and Investment Directorate with the Southern African Development Community (SADC). CISNA consists of the non-banking financial institution authorities, namely, capital markets, collective investment schemes, insurance companies, retirement funds and providers of intermediary services in the SADC. Click Here -> http://www.oecd.org/tax/beps/harmful-tax-practices-2018-progress-report-on-preferential-regimes-9789264311480-en.htm

The Seychelles is also a member of the Eastern and Southern Africa Anti-Money Laundering Group (ESAAMLG). ESAAMLG is a FATF-style regional body committed to combat money laundering by implementing the FATF Recommendations and assesses countries implementation of FATF’s 40 Recommendations.  Following the second round of the Mutual Evaluation Assessment, Seychelles emerged largely compliant. Mutual Evaluation Report published in September 2018  – > http://www.fatf-gafi.org/media/fatf/documents/reports/mer-fsrb/MER-Seychelles-September-2018.pdf