Gibraltar joins the G5 initiative on automatic exchange of beneficial ownership

THERE are so many G groups in the world of politics and finance, it is sometimes difficult to know for sure what group various governments belong to, but Gibraltar has now indicated that it will participate in the G5 (members United Kingdom, Germany, France, Italy, and Spain) automatic exchange of beneficial ownership.

Gibraltar’s commitment was confirmed in a letter sent by the Chief Minister, to the Chancellor of the Exchequer, George Osborne following discussions between respective officials and a conversation between the Hon Albert Isola and the United Kingdom Financial Secretary, the Rt Hon David Gauke MP.

The concept is that this is to be global standard in the area of transparency in the same way as the Common Reporting Standard has become so in the field of automatic information exchange for tax purposes, which Gibraltar also joined in 2014. 

Entities covered by this agreement will be those already identified in the fourth Anti Money Laundering Directive, and a critical part of the initiative on beneficial ownership requires a strict application of data protection and confidentiality by all countries and territories that participate.

The Chief Minister, the Hon Fabian Picardo QC MP, said: “The government’s position as regards international standards is clear; Gibraltar will adhere to internationally agreed principles of cooperation that deliver a level playing field, and we are at the forefront of compliance along with the United Kingdom and other EU states.”