Islamic Development Bank Multilateral Negotiations on Trade in
Islamic Development Bank Multilateral Negotiations on Trade in Services Financial Services Daniel C. Crosby - Casablanca, 16 June 2009 Budin & Associés
Budin & Associés OUTLINE • Structure / Sources of Law • • • Annex on Financial Services Understanding on Commitments in Financial Services The Protocols to the GATS 2
Budin & Associés Global Financial Crisis… … and the relevance of the GATS… To be determined 3
Budin & Associés GATS Review • General Obligations • • • MFN Transparency Domestic regulation 4
Budin & Associés Annex on Financial Services Excludes • financial services « supplied in the exercise of governmental authority » • e. g. , central bank services, exchange rates, statutory social security, retirement plans • « prudential measures » as domestic regualtion Includes « recognition » and specific definitions 5
Budin & Associés Understanding on Commitments in Financial Services • Alternative approach to scheduling specific commitments • Commitments apply on MFN basis • 31 WTO Members have scheduled commitments 6
Budin & Associés Substance of the Understanding • Market access for specified services • “Standstill”- conditions limited to existing nonconforming measures • Listing and reduction or elimination of monopolies • MFN and NT for established suppliers in financial services procurement from state entities • Commits to allowing the supply of “new financial services” • To allow transfer and processing of financial data and information, and transfers of equipment, necessary for business (Right to protect confidential information ensured) 7
Budin & Associés GATS Protocols • Second protocol: financial services (1995) • Third protocol: movement of natural persons (1995) • Fourth protocol: basic telecommunications (1997) • Fifth protocol: financial services (1997) 8
Budin & Associés GATS Protocols Principal elements of a protocol – Relationship between old and new commitments – Timeframe for acceptance – Conditions for entry into force – Special procedures in case of nonacceptance by all Members 9
Budin & Associés Back to the Crisis Is the GATS a cause? part of the solution? 10
Is. DB & Morocco MERCI & THANK YOU daniel. crosby@budin. ch 11
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