Almost 200 practitioners gathered at the Hilton Malta for the first Finance Malta annual conference which focused on 'Connecting Malta's finance industry with the rest of the world'.
The event also served to launch the Finance Malta Investment Guide and Business Directory, a comprehensive publication with in-depth cross-sectoral information of interest to those wishing to operate a financial services business in Malta.
The directory includes an overview of local regulation, company registration, accounting standards and taxation, and is currently being distributed to all financial sector practitioners, ministries, diplomatic representation, and business centres. The investment guide was prepared by Finance Malta, in collaboration with Country Profiler; 12,000 copies are expected to be distributed worldwide.
Constituted with eight governors, Finance Malta, a public-private partnership, was set up as an autonomous foundation in May last year to promote Malta as a financial services centre both within and outside our shores.
Finance Malta chairman Joseph Zammit Tabona explained how Malta's accession to the European Union in 2004 brought about specific advantages for the sector. The passporting rights to other EU and European Economic Area jurisdictions have encouraged many fund management firms to set up their operation and investment funds here.
Malta's reputation as a domicile for hedge funds has been significantly enhanced following the revamping of the legislative framework catering for professional investor funds. The trust sector is also expanding constantly.
Captive insurance business is rapidly developing, while the banking industry has been transformed with some 22 world-class names establishing their business here and using Malta as a springboard to offer a wide range of products and services in the Mediterranean region.
But, Mr Zammit Tabona pointed out, Malta assumes a number of key advantages which, if well managed, can open new business opportunities.
There is a continuous need to have more focused and better co-ordinated marketing and promotion strategies, and common roadmap aimed at promoting Malta internationally as an instantly recognisable brand denoting excellence in financial services has long been required.
Finance Malta aims to achieve these objectives by harnessing the industry's combined resources of the industry, the regulatory authorities and the government to ensure that Malta maintains a modern and effective legal, regulatory and fiscal framework in which the financial sector can continue to flourish.
Mr Zammit Tabona outlined Finance Malta's three essential objectives: rationalising promotional efforts by tying up the various strands into a cohesive whole; providing up-to-date and in-depth information to create an effective user-friendly, cross-sectoral knowledge base; and providing the access point to a network of international contacts for our financial services providers.
Foreign speakers included Clive Briault, until recently managing director of the FSA's retail business unit in London, Carlo Comporti, secretary general of the Committee of European Securities Regulators, Dominique Laboureix, director of the research and policy department at the Banking Commission, the European Commission's Evelyne Masse and Michel Aujean, Piero Ugolini from the International Monetary Fund in Washington DC, and Martin Roche, the founder of Anchor Reputation Management.
Malta Financial Services Authority chairman Joe Bannister presented the results of a survey carried out in conjunction with MISCO about the multi-disciplinary skills required within the industry to keep pace in the global competitive environment.
In his closing address, Finance Minister Tonio Fenech pointed out that the industry accounts for no less than a 12 per cent direct and indirect contribution to the country's GDP, which is set to double in the next decade. Malta recorded a GDP growth rate of 3.8 per cent in 2007 which continued the positive trend of recent years. The sector's gross value added exceeded €210 million last year.
Mr Fenech said the government was committed to making Malta a key player in the financial sector by 2015, by when the ever-growing sector will have become a key pillar of the country's economy. This is why Finance Malta was set up, he pointed out.
In its first year, the foundation has worked hard to acquire the necessary marketing tools and the best human resources.
A platform of 'expert groups' have been developed: four groups led by professionals in the fields of taxation, insurance, pensions and investment funds have been set up to ensure that Malta maintains a well-articulated strategy focused on attracting further business while addressing any lacunae in legislation.
Although it receives an annual contribution from the government, Finance Malta is working hard to win support from the industry, primarily through membership fees and other sponsorships.
Finance Malta currently has around 100 members.
To apply for membership or for more information visit www.financemalta.org.