Gibraltar Location

Finance and Investment

3.1 Banking Services

Gibraltar has a well-established banking sector with total assets and third-party funds under management of approximately £7.8 billion and £7.7 billion, respectively. Most of Gibraltar’s banks are branches or subsidiaries of major UK and other European and US banks or financial institutions. The conduct of banking business in Gibraltar is governed by the Financial Services (Banking) Act. Detailed rules and regulations have been issued under this Act to give effect to all EU directives relating to banking, including the Deposit Guarantee Directive. (see Section 3.8).

In 1999, the UK Government agreed that Gibraltar had implemented regulatory and supervisory practices with regard to banks that matched UK standards. This paved the way for Gibraltar to take advantage of the single European passport for banking. The passport allows Gibraltar’s licensed banks to set up subsidiaries and branches in other European Economic Area (EEA) member states.

Responsibility for the day-to-day supervision is carried out by the Head of Prudential Supervision.

The banking sector provides a wide range of facilities, such as private banking and investment services, as well as corporate banking, including import and export finance and commercial loans. In addition to banks, there are building societies operating in Gibraltar; all of which are branches of well-known UK societies. The FSC also supervises these Building societies.eloped telecommunications, its tax regime, a multilingual labour force with experience in the gaming industry, and freedom of movement of labour from within the EU.