KPMG Analysis unearths truth about TCI Financial Services Sector, now Gov’t ‘priming the pump’ says Minister Saunders

By Deandrea Hamilton

Editor

#TurksandCaicos, March 22, 2022 – The Minister of Finance E. Jay Saunders, like his predecessor Premier Washington Misick has made it no secret that they are convinced the Financial Services Sector could be an bigger earner for the Turks and Caicos Islands.

In the House of Assembly last week, the Minister uncorked the truth found about the country’s #2 industry and it pointed to tremendous opportunity to grow it, or in other words, there is tremendous underperformance.

“Mr. Speaker, sticking with finance sector, in late January 2018, the then Government undertook a strategic analysis of the TCI’s financial services sector, believing that the TCI has a fair opportunity for growth in this sector.  The consultancy was conducted by KPMG Ltd.

Mr. Speaker. KPMG’s report indicated that our financial services sector is in dire straits, and that it is in need of investments and promotion to save it…”

The report he said made not just a few, but nearly 50 recommendations.

“… if we want it to be a viable contributor to the country’s GDP going forward. Forty-nine (49) recommendations are included in the report, one of which was to develop and implement a marketing strategy for the sector.”

The Financial Services Sector is another of the peculiar areas of governance for the Turks and Caicos Islands.  On the marketing and growth of the sector side, the oversight and management comes from the Ministry of Finance.  However on the regulations side, this is the remit of the TCI Governor.

The way forward for the Financial Services Sector is simply ‘growth’ in what is an industry currently generating $240 million in revenues, according to Benjamin Durham, Invest Turks and Caicos Agency Business Analyst.

From the Minister, there was a major announcement:  “Mr. Speaker, I am happy to say that on the 16 February 2022, Cabinet approved the signing of a Memorandum of Understanding between the Government and TCI Finance Limited to implement the aforementioned Marketing and Strategic plan in order to grow our Financial Services industry. Mr. Speaker, our Government is “priming the pump” of our financial service sector, and we’re seeking to aggressively grow our market share.”