Finance Malta attends FERMA, FT events in Stockholm

Finance Malta, the public-private partnership set up to promote Malta’s International Financial Centre, has returned from Sweden after participating in a major risk management event and a joint initiative with the Financial Times.

Malta is well placed to position for growth in this climate

This year’s risk management forum of the Federation of European Risk Management Associations was described as the most successful ever, with more than 1,500 risk professionals, including risk managers and service providers, taking part in the three day event.

The Nordic economies are still performing well and economic progress in Sweden and Norway looks set to be robust again next years, supported by extraordinary public and external balances. The Finnish economy also remains strong while Denmark is beginning to overcome slow growth, but is definitely on the right track and both countries are in a much better condition compared to the average for the eurozone.

Josef Ackermann, chairman of the management board and of the group executive committee of Deutsche Bank, opened FERMA 2011 with a keynote speech on the future of the finance industry.

Dr Ackermann said that while banks have been in the spotlight ever since the global financial crisis exploded in 2008, the insurance industry is also affected. Returns on investment are at an all-time low with US long bonds paying a meager two per cent.

Unemployment, especially among younger people, remains entrenched. Many businesses have seen their sales decline and are foregoing expansion plans and cutting costs. The dire condition of the Greek economy threatens to spread to other European countries, and world governments seem to be unable to deal with the situation in any meaningful way.

Dr Ackermann told the assembled risk managers, brokers, insurers and reinsurers that the crisis has “required a rethinking of the structure, methods and practices of risk management”. Moreover, it has “led to a wide ranging review of the outlook for the financial industry as managers and investors reassess its long-term prospects.”

Malta is particularly well placed to position for growth in this climate, with its robust jurisdiction and a business model that encourages high efficiency in resource allocation, according to Finance Malta.

After the FERMA event, Finance Malta organised a business briefing session with the Financial Times Business Unit and the Banker magazine at the Grand Hotel on Stockholm’s waterfront.

The seminar was chaired by Banker deputy editor Michael Imeson, who pointed out that the number of international speakers at the event reflected the openness of Malta as a modern domicile to do business in.

The main speakers were Finance Malta chairman Kenneth Farrugia, MFSA chairman Joseph Bannister, HSBC’s Monika Dick, Curmi and Partners’ David Curmi, and Bee Insurance’s Elizabeth Carbonaro.

Other speakers sat on a variety of panel sessions. The conference was followed by a networking lunch.