Industry News

Financial Services Sector: Update

Monday November 12th, 2007

Category: Newsletter Articles



We should have a keen interest in stimulating and sustaining growth in financial services....

We should have a keen interest in stimulating and sustaining growth in financial services....

Interview with Mrs. Wendy Craigg, Governor of the Central Bank of the Bahamas

BFSB: How important is the financial services sector?

BFSB: What do you see as critical for the success of the sector?

I believe there are four key points on which we will need to focus our resources, if we are to stimulate and sustain The Bahamas’ reputation as a premier centre for global financial services.

  • Regulatory Framework: The quality of the regulatory and supervisory framework is an essential centerpiece to inspiring confidence in ones’ regime. I believe that the legislative environment will continue to play an important role in sustaining and safeguarding the progress achieved over the years, and in building the competitiveness of the financial services sector.

  • Innovation: In our jobs as regulators, it is important that we strike the right balance between the need for a cost effective and responsive regulatory regime and one which at the same time allows the sector the flexibility to innovate and adapt as new markets emerge and existing markets change.

  • Workforce - Our Knowledge Infrastructure: People are the industry’s most important resource. By and large, accelerated technology, organizational changes and competition have elevated the premium on skills for all workers. Our ability to take advantage of the new opportunities as they present themselves will require us to develop a steady pool of prospective workers for the financial services sector. This in itself is a multifaceted task, focusing, on the one hand, on enhancing the skill levels of new entrants to the sector, and then providing ongoing training opportunities for persons working in the industry.

  • Public/Private Partnership: A significant key to the future success of the services sector will continue to be a close public private partnership—all industry stakeholders working hand in hand in developing strategies to confront the challenges that lie ahead of us. The strategy must take into consideration the industry’s long-term potential and development needs and the formulation of an action plan to help achieve the desired objectives and there has to be a shared understanding and ownership of these goals.

Sustaining growth in the financial services sector complements the overarching framework for economic growth and development in The Bahamas, and is consistent with the shared vision of The Bahamas as a modern, highly-skilled and competitive jurisdiction for business.*

BFSB: What is the key role of the Central Bank of the Bahamas, as primary regulator within the financial services sector?

BFSB: Basel II has been described by some as being too complex and challenging and, even, not entirely relevant.

BFSB: Is there one theme, which perhaps has had the most significant impact on the architecture of financial services supervision and regulation in recent years?