Malta jurisdiction showcased in New York

Over 40 “influential practitioners” attended a roundtable event showcasing Malta as a new European jurisdiction for investment and financial services in New York a week ago, Anton Tabone, president of the American Chamber of Commerce in Malta, told The Times Business.

The event, at the Down Town Association’s historical venue in the heart of New York’s financial district, was organised by AmCham Malta and Finance Malta. Prime Minister Lawrence Gonzi, who was in New York last week to address the United Nations’ General Assembly, gave the keynote address.

“This exercise was intended to begin to introduce Malta as the respectable and serious financial services jurisdiction it grew up to become to an audience of US influential practitioners, some considered true leaders in their respective sector of financial services,” Dr Tabone said.

“Partners at major international law firms, CEOs of NYSE-listed companies, investment bankers, and private equity firm owners attended. Two attendees, in particular, had already been invited as guest speakers to Malta in 2007, in the context of a series of seminars then organised by AmCham Malta about alternative sources of finance.”

Dr Tabone admitted that the majority of the guests had little knowledge of Malta as a financial services jurisdiction. However, the venue – just a stone’s throw away from Wall Street – and calibre of the guest list would not have gone unnoticed and Dr Tabone pointed out that these two factors were testimony to Malta’s seriousness to act as a sophisticated global player in financial services.

One of the major advantages Malta offers US businesses is a passporting opportunity to the European Union. That, besides, Malta’s strategic location and the uniquely attractive legislative framework, were highlighted throughout the session.

“American companies are slowly but surely moving away from nearby offshore centres considered tax havens, such as Bermuda or the British Virgin Islands, due to international pressures and developments,” Dr Tabone explained.

“The domiciliation of companies, hedge funds and captive insurances in Malta, for instance, is an excellent alternative for US companies to remain in a cost-efficient jurisdiction, but safely within an EU onshore framework.

“We see Malta serving as an excellent back office jurisdiction for medium-sized US companies that want a European operation. Similarly, we see the fund industry and the domiciliation of captive insurances in Malta a great sell in the US.”

Dr Gonzi and Finance Malta chairman Kenneth Farrugia stressed upon the “can do” attitude of doing business on the island, which Dr Tabone pointed out, was fundamental in attracting US investment.

Mr Farrugia, Finance Malta Governor Andrew Manduca and partner at Deloitte, Robert D’Alessandro, managing director at Credaltrust, and Dr Tabone gave a practitioners’ technical perspective about financial services in Malta.

Dr Tabone stressed it was imperative that similar events were organised regularly as one-off initiatives would be futile.

“Malta has definitely a lot to offer in terms of business opportunities,” he said, “but every other financial services jurisdiction constantly vies for attention and investment from the US”.

Trade between the US and Malta last year was worth €257.9 million (Malta imports from the US were valued €75 million; exports at €182.9 million) which translated into 4.76 per cent of Malta’s international trade.

The American Chamber of Commerce in Malta is a non-profit organisation that aims to facilitate the exchange of trade and business between the US and Malta. AmCham Malta is a member of the European Council of American Chambers of Commerce (ECACC) and also an associate member of the US Chamber of Commerce.