"We are launching the International Financial Centre by building a Financial Institution Support Services Industry-a sub-sector of the financial services sector. The T&T IFC Management Company Ltd is already engaging financial institutions to consider consolidating their national and regional back-office operations in T&T. Shared service centres would now become the core of a new financial institutions support services industry. In the light of international competition for such businesses, we need to act quickly and we need to act decisively.
On August 29, 2012 Scotiabank T&T executed a memorandum of understanding with the IFC Management Company. This initiative will result in new investment of $100 million and employment of 200 people. Negotiations are currently on-going with two other financial institutions to locate similar facilities here.
I expect the building of this financial services sub-sector to generate substantial benefits. It will absorb the continual flow of skilled workers from the tertiary educational institutions. It could provide over the next five years, 3,000 good quality jobs for knowledge workers and on a multiplier effect basis, 6,000 to 12,000 total jobs could be created from the development of the industry. The impact on the gross domestic product would be immediate and positive.
I propose to introduce legislation with associated tax incentives early in the new fiscal year to support the building of the financial institutions support services industry. Moreover, to be a financial centre it is imperative that our initiatives in this area be encapsulated in a strong legislative framework. I intend to bring forward legislation to Parliament during the coming year, including a new Securities Act, a new Insurance Act, the Credit Union Act as well as legislation to effect electronic payments in the government services."
