RESTRICTED
WORLD TRADE S/FIN/W/12/Add.1
30June1997
ORGANIZATION(97-2769)
Original: English Committee onTrade inFinancial Services
COMMUNICATION FROM THE EUROPEAN COMMUNITIES
AND THEIR MEMBER STATES
Initial Offer onFinancial Services
Addendum
Thefollowing communication iscirculated attherequest ofthedelegation oftheEuropean
Communities andtheirMember States toMembers oftheCommittee onTrade inFinancial Services.
_____________
TheEuropean Communities andtheirMember States hereby present theirinitial offerofspecific
commitments onfinancial services. Thesubmission inadvance ofthemid-July deadline, agreed by
theCommittee onTrade inFinancial Services, expresses thefirmwillingness oftheEuropean
Communities andtheirMember States towork withallWTO Members towards theconclusion ofa
permanent andMFN-based agreement onfinancial services under theGATS nolater than
12December 1997. Other WTO Members areencouraged tofollow thisexample andsubmit their
draftinitial offers within thetimeframe setoutbytheCommittee.
Theattached initial offerreflects recent changes ininternal legislation ofsome ECMember
States. Itsuggests toeliminate anumber ofimportant restrictions atnational level. Thisimproves present
liberal commitments which already provide essentially fullmarket access withonlyafewandsecondary
limitations.
Thisinitial offerisconditional. Thedecision tomaintain itwilldepend onotherWTO Members ’
readiness toachieve asignificantly higher level ofliberalisation commitments. Those commitments
areexpectedtoofferrealmarketaccessopportunitiesonanon-discriminatorybasis,guaranteeingnational
treatment aswellastherespect oftheMFN principle.
Itisunderstood that,pursuant totheSecond Decision onFinancial Services of21July1995
(WTO Document S/L/9 of24July1995), theEuropean Communities andtheirMember States retain
therighttomodify orwithdraw allorpartofthespecific commitments onfinancial services andto
listMFN exemptions.S/FIN/W/12/Add.1
Page2EUROPEAN COMMUNITY IESAND ITSTHEIR MEMBER STATES
INITIAL OFFER -SPECIFIC COMMITMENTS ONFINANCIAL SERVICES
Modes ofsupply: 1) Cross-border supply 2) Consumption abroad 3) Commercial presence 4) Presence ofnatural persons
Sector orSub-sector Limitations onMarket Access Limitations onNational Treatment Additional
Commitments
FINANCIAL SERVICES SECTOR1
1. TheCommunity iesanditstheir Member States undertake commitments onFinancial Services inaccordance withtheprovisions ofthe"Understanding on
Commitments inFinancial Services" (theUnderstanding).
2. These commitments aresubject tothelimitations onmarket access andnational treatment inthe"allsectors" section ofthisschedule andtothose relating to
thesubsectors listed below.
3. Themarket access commitments inrespect ofmodes (1)and(2)apply onlytothetransactions indicated inparagraphs B.3andB.4ofthemarket access
section oftheUnderstanding respectively.
4. Notwithstanding note1.above, themarket access andnational treatment commitments inrespect ofmode (4)onfinancial services arethose inthe"all
sectors" section ofthisschedule, except forSweden inwhich casecommitments aremade inaccordance withtheUnderstanding .
5. Theadmission tothemarket ofnewfinancial services orproducts maybesubject totheexistence of,andconsistency with, aregulatory framework aimed at
achieving theobjectives indicated inArticle 2(a)oftheFinancial Services Annex.
6. Asageneral ruleandinanon-discriminatory manner, financial institutions incorporated inaMember State oftheCommunity must adopt aspecific legal
form.
1Unlike foreign subsidiaries, branches established directly inaMember State byanon-Community financial institution arenot,withcertain limited exceptions, subject toprudential
regulations harmonized atCommunity level which enable such subsidiaries tobenefit from enhanced facilities tosetupnewestablishments andtoprovide cross-border services
throughout theCommunity. Therefore, such branches receive anauthorization tooperate intheterritory ofaMember State under conditions equivalent tothose applied todomestic
financial institutions ofthatMember State, andmayberequired tosatisfy anumber ofspecific prudential requirements such as,inthecaseofbanking andsecurities, separate
capitalization andother solvency requirements andreporting andpublication ofaccounts requirements or,inthecaseofinsurance, specific guarantee anddeposit requirements, aseparate
capitalization, andthelocalization intheMember State concerned oftheassets representing thetechnical reserves andatleastonethird ofthesolvency margin. Member States may
apply therestrictions indicated inthisschedule onlywithregard tothedirect establishment from athird country ofacommercial presence ortotheprovision ofcross-border services
from athird country; consequently, aMember State maynotapply these restrictions, including those concerning establishment, tothird-country subsidiaries established inother
Member States oftheCommunity, unless these restrictions canalsobeapplied tocompanies ornationals ofother Member States inconformity withCommunity law.S/FIN/W/12/Add.1
Page3Modes ofsupply: 1) Cross-border supply 2) Consumption abroad 3) Commercial presence 4) Presence ofnatural persons
Sector orSub-sector Limitations onMarket Access Limitations onNational Treatment Additional
Commitments
A. Insurance and
Insurance-Related Services(1) A:Promotional activity and
intermediation onbehalf ofasubsidiary
notestablished intheCommunity orofa
branch notestablished inAustria (except
forreinsurance andretrocession) are
prohibited.
A:Compulsory airtransport liability
insurance canbeunderwritten onlybya
subsidiary established intheCommunity
orbyabranch established inAustria.
DK: Compulsory airtransport insurance
canbeunderwritten onlybyfirms
established intheCommunity.(1) A:Higher premium taxisduefor
insurance contracts (except forcontracts
onreinsurance andretrocession) which
arewritten byasubsidiary notestablished
intheCommunity orbyabranch not
established inAustria. Exception from
thehigher taxcanbegranted.
DK: Nopersons orcompanies (including
insurance companies) mayforbusiness
purposes inDenmark assist ineffecting
direct insurance forpersons resident in
Denmark, forDanish ships orfor
property inDenmark, other than
insurance companies licensed byDanish
laworbyDanish competent authorities.
D:Compulsory airinsurance policies can
beunderwritten onlybyasubsidiary
established intheCommunity orbya
branch established inGermany.S/FIN/W/12/Add.1
Page4Modes ofsupply: 1) Cross-border supply 2) Consumption abroad 3) Commercial presence 4) Presence ofnatural persons
Sector orSub-sector Limitations onMarket Access Limitations onNational Treatment Additional
Commitments
D:Ifaforeign insurance company has
established abranch inGermany, itmay
conclude insurance contracts inGermany
relating tointernational transport only
through thebranch established in
Germany.
E,I:Unbound fortheactuarial
profession.
FIN: Foreign insurers maywithout
licence offer onlyreinsurances and
retrocessions inFinland.
Only insurers having their head office in
theEuropean Economic Area orhaving
their branch inFinland mayoffer
insurance services asreferred toin
sub-paragraph 3(a)ofthe
Understanding.
FIN: Thesupply ofinsurance broker
services issubject toapermanent place of
business inFinland. theEuropean
Economic Area.
F:Insurance ofrisks relating toground
transport maybecarried outonlyby
insurance firms established inthe
Community.S/FIN/W/12/Add.1
Page5Modes ofsupply: 1) Cross-border supply 2) Consumption abroad 3) Commercial presence 4) Presence ofnatural persons
Sector orSub-sector Limitations onMarket Access Limitations onNational Treatment Additional
Commitments
I:Insurance ofrisks relating toc.i.f.
exports byresidents inItaly maybe
underwritten onlybyinsurance firms
established intheCommunity.
I:Transport insurance ofgoods,
insurance ofvehicles assuch andliability
insurance regarding risks located inItaly
maybeunderwritten onlybyinsurance
companies established intheCommunity.
Thisreservation does notapply for
international transport involving imports
intoItaly.
P:Airandmaritime transport insurance,
covering goods, aircraft, hullandliability
canbeunderwritten onlybyfirms
established intheEC;onlypersons or
companies established intheECmayact
asintermediaries forsuch insurance
business inPortugal.
S:Thesupply ofdirect insurance is
allowed onlythrough aninsurance service
supplier authorised inSweden, provided
thattheforeign service supplier andthe
Swedish insurance company belong tothe
same group ofcompanies orhave an
agreement ofcooperation between them.S/FIN/W/12/Add.1
Page6Modes ofsupply: 1) Cross-border supply 2) Consumption abroad 3) Commercial presence 4) Presence ofnatural persons
Sector orSub-sector Limitations onMarket Access Limitations onNational Treatment Additional
Commitments
(2) A:Promotional activity and
intermediation onbehalf ofasubsidiary
notestablished intheCommunity orofa
branch notestablished inAustria (except
forreinsurance andretrocession) are
prohibited.
A:Compulsory airtransport liability
insurance canbeplaced onlywith
established insurers insurance canbe
underwritten onlybyasubsidiary
established intheCommunity orbya
branch established inAustria .
DK: Compulsory airtransport insurance
canbeunderwritten onlybyfirms
established intheCommunity.
DK: Nopersons orcompanies (including
insurance companies) mayforbusiness
purposes inDenmark assist ineffecting
direct insurance forpersons resident in
Denmark, forDanish ships orfor
property inDenmark, other than
insurance companies licensed byDanish
laworbyDanish competent authorities.
D:Compulsory airinsurance policies can
beunderwritten onlybyasubsidiary
established intheCommunity orbya
branch established inGermany.(2) A:Higher premium taxisduefor
insurance contracts (except forcontracts
onreinsurance andretrocession) which
arewritten byasubsidiary notestablished
intheCommunity orbyabranch not
established inAustria. Exception from the
higher taxcanbegranted.S/FIN/W/12/Add.1
Page7Modes ofsupply: 1) Cross-border supply 2) Consumption abroad 3) Commercial presence 4) Presence ofnatural persons
Sector orSub-sector Limitations onMarket Access Limitations onNational Treatment Additional
Commitments
D:Ifaforeign insurance company has
established abranch inGermany, itmay
conclude insurance contracts inGermany
relating tointernational transport only
through thebranch established in
Germany.
FIN: Obligatory insurances (thestatutory
employment pension insurance, the
statutory accident insurance, themotor
third-party liability insurance, the
insurance against treatment injury) have to
beeffected inFinland.
F:Insurance ofrisks relating toground
transport maybecarried outonlyby
insurance firms established inthe
Community.
I:Insurance ofrisks relating toc.i.f.
exports byresidents inItaly maybe
underwritten onlybyinsurance firms
established intheCommunity.
I:Transport insurance ofgoods,
insurance ofvehicles assuch andliability
insurance regarding risks located inItaly
maybeunderwritten onlybyinsurance
companies established intheCommunity.
Thisreservation does notapply for
international transport involving imports
intoItaly.S/FIN/W/12/Add.1
Page8Modes ofsupply: 1) Cross-border supply 2) Consumption abroad 3) Commercial presence 4) Presence ofnatural persons
Sector orSub-sector Limitations onMarket Access Limitations onNational Treatment Additional
Commitments
P:Airandmaritime transport insurance,
covering goods, aircraft, hullandliability
canbeunderwritten onlybyfirms
established intheEC;onlypersons or
companies established intheECmayact
asintermediaries forsuch insurance
business inPortugal.
(3) A:Representative offices andagencies of
insurers arenotallowed tounder write or
tointermediate insurance contracts.
A:Thelicence forbranch offices of
foreign insurers hastobedenied ifthe
insurer, inthehome country, does not
have alegal form corresponding or
comparable toajoint stock company ora
mutual insurance association.
B:Anypublic bidtoacquire Belgian
securities made byoronbehalf ofa
person, company orinstitution outside
thejurisdiction ofoneoftheMember
States oftheEuropean Community shall
besubmitted totheauthorisation ofthe
Minister ofFinance.
E:Before establishing abranch or
agency inSpain toprovide certain classes
ofinsurance, aforeign insurer must have
been authorized tooperate inthesame
classes ofinsurance initscountry of
origin foratleast fiveyears.(3)FIN: Thegeneral agent ofthe
foreign insurance company shall reside in
Finland .have hisplace ofresidence in
Finland, unless thecompany hasits
head office intheEuropean Economic
Area.
S:Insurance undertakings not
incorporated inSweden arerequired to
deposit assets foragencies established in
Sweden.
S:Non-life insurance undertakings not
incorporated inSweden conducting
business inSweden are-instead ofbeing
taxed according tothenetresult -subject
totaxation based onthepremium income
from direct insurance operations.
S:Afounder ofaninsurance company
shall beanatural person resident in
Sweden theEuropean Economic Area or
alegal entity incorporated inSweden the
European Economic Area.S/FIN/W/12/Add.1
Page9Modes ofsupply: 1) Cross-border supply 2) Consumption abroad 3) Commercial presence 4) Presence ofnatural persons
Sector orSub-sector Limitations onMarket Access Limitations onNational Treatment Additional
Commitments
E,GR: Theright ofestablishment does not
cover thecreation ofrepresentative offices or
other permanent presence ofinsurance
companies, except where such offices are
established asagencies, branches orhead
offices.
FIN: Requirements concerning citizenship and
place ofresidence, from which anexemption
maybegranted insome cases, apply tothe
founder, Managing Director, Auditors and
Members oftheBoard ofDirectors andthe
Supervisory Board ofaninsurance company.
Themanaging director, atleast oneauditor
andatleast onehalfofthepromoters and
members oftheboard ofdirectors andthe
supervisory board ofaninsurance company
shall have their place ofresidence inthe
European Economic Area, unless theMinistry
ofSocial Affairs andHealth hasgranted an
exemption.
FIN: Branches offoreign insurance companies
cannot getalicence inFinland tocarry on
statutory insurances business (thestatutory
employment pension insurance, thestatutory
accident insurance, themotor third party
liability insurance, theinsurance against
treatment injury).
Foreign insurers cannot getalicence in
Finland asabranch tocarry onstatutory
social insurances (statutory pension insurance,
statutory accident insurance).S/FIN/W/12/Add.1
Page10Modes ofsupply: 1) Cross-border supply 2) Consumption abroad 3) Commercial presence 4) Presence ofnatural persons
Sector orSub-sector Limitations onMarket Access Limitations onNational Treatment Additional
Commitments
F,E:Theestablishment ofbranches is
subject toaspecial authorization forthe
representative ofthebranch. Inthecase
ofSpain, theconditions tobemetare
related tothetechnical qualification and
good standing oftheperson.
I:Access toactuarial profession through
natural persons only. Professional
associations (noincorporation) among
natural persons permitted.
I:Theauthorization oftheestablishment
ofbranches isultimately subject tothe
evaluation ofsupervisory authorities.
IRL: Theright ofestablishment does not
cover thecreation ofrepresentative
offices.
P:Foreign companies maycarry out
insurance intermediation inPortugal only
through acompany formed inaccordance
withthelawofaCommunity Member
State.
P:Inorder toestablish abranch in
Portugal, foreign companies need to
demonstrate prior operational experience
ofatleast fiveyears.
S:Foreign companies mayonlyestablish
asasubsidiary orthrough aresident
agent.S/FIN/W/12/Add.1
Page11Modes ofsupply: 1) Cross-border supply 2) Consumption abroad 3) Commercial presence 4) Presence ofnatural persons
Sector orSub-sector Limitations onMarket Access Limitations onNational Treatment Additional
Commitments
S:Insurance broking undertakings not
incorporated inSweden mayestablish a
commercial presence onlythrough a
branch.
(4) Unbound except asindicated inthe
horizontal section andsubject tothe
specific conditions:
GR: Amajority ofthemembers ofthe
board ofdirectors ofacompany
established inGreece shall benationals of
oneoftheMember States ofthe
Community(4)Unbound except asindicated inthe
horizontal section andsubject tothe
following specific limitations:
A:Themanagement ofabranch office
must consist oftwonatural persons
resident inAustria.
DK: Thegeneral agent ofaninsurance
branch willneed tohave resided in
Denmark forthelasttwoyears unless
being anational ofoneoftheMember
States oftheCommunity. TheMinister of
Business andIndustry maygrant
exemption.
DK: Residency requirement formanagers
andthemembers oftheboard ofdirectors
ofacompany. However, theMinister of
Business andIndustry maygrant
exemption from thisrequirement.
Exemption isgranted ona
non-discriminatory basis.
E,I:Residence requirement foractuarial
profession.S/FIN/W/12/Add.1
Page12Modes ofsupply: 1) Cross-border supply 2) Consumption abroad 3) Commercial presence 4) Presence ofnatural persons
Sector orSub-sector Limitations onMarket Access Limitations onNational Treatment Additional
Commitments
B.Banking andOther Financial
Services
(excluding insurance)(1)B:Establishment inBelgium isrequired
fortheprovision ofinvestment advisory
services.
I:Theoffer andmarketing ofservices
concerning thedistribution tothepublic,
through telecommunication orother
information means, ofinformation
concerning prices, thevolume of
transactions, theoffer anddemand
conditions relating tothenegotiation of
securities dealt intheItalian regulated
market, orinother recognized markets,
requires prior authorization bytheStock
Exchanges Commission (Consob). This
authorization maynotbegranted ifthe
authorities determine thatthere isarisk
thatthedataprovided mayinduce the
public toerror.
I:Anestablishment (asecurities
investment company incorporated inItaly
orabank subsidiary orbranch) isneeded
inorder toprovide investment research
andadvice relating tosecurities (dealing,
issue, underwriting) andasset
management, securities custody and
services regarding mergers, acquisitions,
corporate restructuring, management
buy-outs andventure capital. Collective
asset management (excluding UCITS) is
extended tobanks, insurance companies,
securities investment companies withtheir
legal head office intheEC.(1)NoneS/FIN/W/12/Add.1
Page13Modes ofsupply: 1) Cross-border supply 2) Consumption abroad 3) Commercial presence 4) Presence ofnatural persons
Sector orSub-sector Limitations onMarket Access Limitations onNational Treatment Additional
Commitments
I:Unbound for"promotori diservizi
finanziari" (financial salesmen).
IRL: Theprovision ofinvestment
services orinvestment advice requires
either (I)authorisation inIreland, which
normally requires thattheentity be
incorporated orbeapartnership orasole
trader, ineach casewitha
head/registered office inIreland
(authorisation maynotberequired in
certain cases, e.g.where athird country
service provider hasnocommercial
presence inIreland andtheservice isnot
provided toprivate individuals), or(II)
authorisation inanother Member State in
accordance withtheECInvestment
Services Directive.
(2)D:Issues ofsecurities denominated in
Deutschmarks canbeleadmanaged only
byacredit institution, subsidiary or
branch, established inGermany.
FIN: Payments from governmental
entities (expenses) shall betransmitted
through theFinnish Postal Giro System or
through thePostipankki Ltd., which is
maintained bythePostipankki Ltd.
Exemption from thisrequirement maybe
granted onspecial reason bytheMinistry
ofFinance.(2)S:Account operating institutions inthe
VPC register whohave notgotaclearing
account withthecentral bank
(Riksbanken) have tomake acertain
deposit.S/FIN/W/12/Add.1
Page14Modes ofsupply: 1) Cross-border supply 2) Consumption abroad 3) Commercial presence 4) Presence ofnatural persons
Sector orSub-sector Limitations onMarket Access Limitations onNational Treatment Additional
Commitments
GR: Establishment isrequired forthe
provision ofcustodial anddepository
services involving theadministration of
interest andprincipal payments dueon
securities issued inGreece.
I:Anestablishment (asecurities
investment company incorporated inItaly
orabank subsidiary orbranch) isneeded
inorder toprovide investment research
andadvice relating tosecurities (dealing,
issue, underwriting) andasset
management, securities custody and
services regarding mergers, acquisitions,
corporate restructuring, management
buy-outs andventure capital. Collective
asset management (excluding UCITS) is
extended tobanks, insurance companies,
securities investment companies withtheir
legal head office intheEC.
I:Residents inItaly need authorization to
purchase orsellabroad unrefined gold.
P:Open-ended investment funds are
required toinvest 25percentoftheir
funds inPortuguese Government funds.
Theability ofresidents inPortugal to
carry outthefollowing operation abroad is
restricted:
- issue onaforeign market of
domestic securities andnegotiable
instruments .S/FIN/W/12/Add.1
Page15Modes ofsupply: 1) Cross-border supply 2) Consumption abroad 3) Commercial presence 4) Presence ofnatural persons
Sector orSub-sector Limitations onMarket Access Limitations onNational Treatment Additional
Commitments
S:Custody, depository andsettlement
services, securities registered inthe
(Swedish) Securities Register Centre
(Vardepapperscentralen VPC SB)canonly
besupplied bysuppliers whoareaccount
operating institutions. Aprerequisite is
thatthesupplier issupervised bythe
(Swedish) Financial Supervisory
Authority.
UK: Sterling issues, including privately
ledissues, canbeleadmanaged onlybya
firmestablished intheCommunity
European Economic Area.
(3)AllMember States:
- Theestablishment ofaspecialized
management company isrequired
toperform theactivities of
management ofunittrusts and
investment companies (Articles 6
and13ofUCITS Directive,
85/611/EEC).
- Only firms having their registered
office intheCommunity canact
asdepositories oftheassets of
investment funds (Articles 8.1
and15.1 oftheUCITS Directive,
85/611/EEC).(3)F:Inaddition toFrench credit
institutions, issues denominated inFrench
francs maybeleadmanaged onlyby
French subsidiaries (under French law)of
non-French banks which areauthorized,
based onsufficient means and
commitments inParis ofthecandidate
French subsidiary ofanon-French bank.
These conditions apply toleadbanks
running thebooks. Anon-French bank
maybe,without restrictions or
requirement toestablish, jointly-lead or
co-lead manager ofEurofranc bond issue.S/FIN/W/12/Add.1
Page16Modes ofsupply: 1) Cross-border supply 2) Consumption abroad 3) Commercial presence 4) Presence ofnatural persons
Sector orSub-sector Limitations onMarket Access Limitations onNational Treatment Additional
Commitments
A:Licensing ofbranches orsubsidiaries
offoreign banks maybesubject toan
economic interest test.
A:Only members oftheAustrian Stock
Exchange mayengage insecurities trading
attheStock Exchange.
A:Fortrading inforeign exchange and
foreign currency authorization ofthe
Austrian National Bank isrequired.
A:Mortgage bonds andmunicipal bonds
maybeissued bybanks specialized and
authorized forthisactivity.
A:Forcarrying outservices ofpension
fund management aspecialized company
onlyforthisactivity andincorporated asa
stock company inAustria isrequired.
B:With certain exceptions (block
trading), financial institutions mayengage
insecurities trading onlythrough stock
exchange firms incorporated inBelgium.
B:Anypublic bidtoacquire Belgian
securities made byoronbehalf ofa
person, company orinstitution outside
thejurisdiction ofoneoftheMember
States oftheEuropean Community shall
besubmitted totheauthorisation ofthe
Minister ofFinance.I:Representative offices offoreign
intermediaries cannot carry out
promotional activities intheareaof
investment insecurities.
S:Afounder ofabanking company shall
beanatural person resident inSweden
theEuropean Economic Area ora
foreign bank. Afounder ofasavings
bank shall beanatural person resident in
Sweden theEuropean Economic Area.
S:Abranch ofafund management
company notincorporated inSweden may
notoperate certain collective investment
funds, where theinvestor enjoys certain
taxbenefits (Allemansfonder).S/FIN/W/12/Add.1
Page17Modes ofsupply: 1) Cross-border supply 2) Consumption abroad 3) Commercial presence 4) Presence ofnatural persons
Sector orSub-sector Limitations onMarket Access Limitations onNational Treatment Additional
Commitments
DK: Financial institutions mayengage in
securities trading ontheCopenhagen
Stock Exchange onlythrough subsidiaries
incorporated inDenmark.
E:Financial institutions mayengage in
securities trading insecurities listed onan
official stock exchange orinthe
government securities market onlythrough
securities firms incorporated inSpain.
FIN: Acquisition ofshares byforeign
owners giving more thanonethird ofthe
voting rights ofamajor Finnish
commercial bank orcredit institution (with
more than1000 employees orwitha
turnover exceeding 1000 million Finnish
markka orwithabalance sheet total
exceeding 1000 million Finnish markka) is
subject toconfirmation bytheFinnish
authorities; theconfirmation maybe
denied onlyifanimportant national
interest would bejeopardized.S/FIN/W/12/Add.1
Page18Modes ofsupply: 1) Cross-border supply 2) Consumption abroad 3) Commercial presence 4) Presence ofnatural persons
Sector orSub-sector Limitations onMarket Access Limitations onNational Treatment Additional
Commitments
FIN: Forcredit institutions including
banks, requirements concerning nationality
andplace ofresidence, from which
exemptions maybegranted, apply tothe
founder, theSupervisory Board andthe
Board ofManagement aswellastheChief
General Manager andauditors.
Atleast onehalfofthefounders, the
members oftheboard ofdirectors, the
supervisory board andthedelegates, the
managing director, theholder ofthe
procuration andtheperson entitled to
signinthename ofthecredit institution
shall have their place ofresidence inthe
European Economic Area, unless the
Ministry ofFinance grants anexemption.
Atleast oneauditor shall have hisplace
ofresidence intheEuropean Economic
Area.
FIN: Professional intermediation of
securities andderivatives (options and
futures) requires apermanent place of
business intheform ofalimited liability
company, adeposit bank, other credit
institution orabranch ofaforeign credit
orfinancial institution.
FIN: Requirements concerning citizenship
andplace ofresidence apply totheBoard
ofDirectors andManaging Director ofa
Stock Exchange Brokerage Firm aswell
astoaStock Exchange Broker.S/FIN/W/12/Add.1
Page19Modes ofsupply: 1) Cross-border supply 2) Consumption abroad 3) Commercial presence 4) Presence ofnatural persons
Sector orSub-sector Limitations onMarket Access Limitations onNational Treatment Additional
Commitments
FIN: Citizenship andresidency
requirements formarket makers and
brokers onderivative exchange, from
which exemptions maybegranted. The
broker (individual person) onderivative
exchange shall have hisplace of
residence intheEuropean Economic
Area. Exemption from thisrequirement
maybegranted under theconditions set
bytheMinistry ofFinance.
FIN: Payments from governmental entities
(expenses) shall betransmitted through the
Finnish Postal Giro System orthrough the
Postipankki Ltd. ,which ismaintained
bythePostipankki Ltd.Exemption from
thisrequirement maybegranted on
special reason bytheMinistry of
Finance.
GR: Financial institutions mayengage in
thetrading ofsecurities listed onthe
Athens Stock Exchange onlythrough stock
exchange firms incorporated inGreece.
GR:Fortheestablishment andoperations
ofbranches aminimum amount offoreign
exchange must beimported, converted
intodrachmas andkeptinGreece aslong
asaforeign bank continues tooperate in
Greece:S/FIN/W/12/Add.1
Page20Modes ofsupply: 1) Cross-border supply 2) Consumption abroad 3) Commercial presence 4) Presence ofnatural persons
Sector orSub-sector Limitations onMarket Access Limitations onNational Treatment Additional
Commitments
- Uptofour(4)branches this
minimum iscurrently equal to
halfoftheminimum amount of
share capital required foracredit
institution tobeincorporated in
Greece;
- Fortheoperation ofadditional
branches theminimum amount of
capital must beequal tothe
minimum share capital required
foracredit institution tobe
incorporated inGreece.S/FIN/W/12/Add.1
Page21Modes ofsupply: 1) Cross-border supply 2) Consumption abroad 3) Commercial presence 4) Presence ofnatural persons
Sector orSub-sector Limitations onMarket Access Limitations onNational Treatment Additional
Commitments
I:Aseparate incorporation inItaly inthe
form ofasecurities company isrequired
forfirms other thanbanks (including
foreign banks branches) inorder to
provide services related tosecurities
dealing (including dealing fortheown
account orfortheaccount ofcustomers2
issue anddistribution ofsecurities,
acceptance ofsaleandpurchase orders,
investment advice, asset andportfolio
management, andraising funds from the
public bymeans ofactivities which may
alsobepromotional3andcarried onina
place different from thelegal head office
orprincipal administrative establishment
oftheissuer, supplier orperson marketing
theinvestment).
2From 1January 1993 foreign aswellasdomestic banks maynotprovide securities dealing foritsownaccount orfortheaccount ofcustomers; however, banks, including
branches offoreign banks, areallowed todealinTreasury bonds andState-backed securities.
3Door-to-door selling.S/FIN/W/12/Add.1
Page22Modes ofsupply: 1) Cross-border supply 2) Consumption abroad 3) Commercial presence 4) Presence ofnatural persons
Sector orSub-sector Limitations onMarket Access Limitations onNational Treatment Additional
Commitments
I:Clearing andsettlement ofsecurities
maybeconducted onlybytheofficial
clearing system.
I:Thepublic offer ofsecurities (as
provided forunder Art.18bisofLaw
216/74) other thanshares, debtsecurities
(including convertible debtsecurities) can
onlybemade byItalian limited
companies, foreign companies duly
authorized, public bodies orcompanies
belonging tolocal authorities whose
assigned capital isnotbelow Lit2billion.
I:Centralized deposit, custody and
administration services forGovernment
securities canbeprovided onlybythe
Bank ofItaly, orbyMonte Titoli SpAfor
shares, securities ofaparticipating nature
andother bonds traded inaruled market.
IRL: Inthecaseofunittrusts, collective
investment schemes constituted asvariable
capital companies, andinvestment limited
partnerships Inthecaseofcollective
investment schemes constituted asunit
trusts andvariable capital companies
(other thanundertakings forcollective
investment intransferable securities,
UCITS), thetrustee/depositary orand
management company isrequired tobe
incorporated inIreland orinanother
Member State oftheCommunity. Inthe
caseofaninvestment limited partnership,
atleast onegeneral partner must be
incorporated inIreland.S/FIN/W/12/Add.1
Page23Modes ofsupply: 1) Cross-border supply 2) Consumption abroad 3) Commercial presence 4) Presence ofnatural persons
Sector orSub-sector Limitations onMarket Access Limitations onNational Treatment Additional
Commitments
IRL: Theright ofestablishment does not
cover theestablishment ofrepresentative
offices offoreign banks.
IRL: Tobecome amember ofastock
exchange inIreland, anentity must
either (I)beauthorised inIreland, which
requires thatitbeincorporated orbea
partnership, withahead/registered office
inIreland, or(II)beauthorised in
another Member State inaccordance with
theECInvestment Services Directive.
IRL: Theprovision ofinvestment
services orinvestment advice requires
either (I)authorisation inIreland, which
normally requires thattheentity be
incorporated orbeapartnership orasole
trader, ineach casewitha
head/registered office inIreland (the
supervisory authority mayalsoauthorise
branches ofthird country entities), or(II)
authorisation inanother Member State in
accordance withtheECInvestment
Services Directive.
NL: Only companies incorporated
according tothelawandregulations ofan
ECMember State maybecome members
oftheAmsterdam Stock Exchange.
P:Theestablishment ofnon-EC banks
maybesubject toaneconomic needs test.S/FIN/W/12/Add.1
Page24Modes ofsupply: 1) Cross-border supply 2) Consumption abroad 3) Commercial presence 4) Presence ofnatural persons
Sector orSub-sector Limitations onMarket Access Limitations onNational Treatment Additional
Commitments
P:Theservices ofventure capital,
factoring, close-ended investment fund
management andbroker-dealer services
(excluding those provided ontheLisbon
Stock Exchange) maybeprovided by
credit-institutions orinvestment firms
incorporated intheCommunity (if
authorized intheir country oforigin to
supply those services).
Aforementioned services, when rendered
byother companies, aswellaspension
fund management andbroker-dealer
services ontheLSE, maybeprovided
onlybycompanies incorporated in
Portugal.
UK: Thefollowing categories offinancial
institutions dealing inGovernment debt
arerequired tobeincorporated inthe
United Kingdom andbeseparately
capitalized:
-giltedged market makers (or
GEMMs), which areprimary dealers in
gilt-edged Government debtandthrough
which theGovernment operates in
executing Government debtmanagement
policy;
-discount houses which areprimary
dealers forTreasury Bills andother
money market instruments, andthrough
which theGovernment operates in
executing monetary policy;S/FIN/W/12/Add.1
Page25Modes ofsupply: 1) Cross-border supply 2) Consumption abroad 3) Commercial presence 4) Presence ofnatural persons
Sector orSub-sector Limitations onMarket Access Limitations onNational Treatment Additional
Commitments
- stock exchange money brokers
(SEMBs), which actas
intermediaries between GEMMs
andlenders ofgilt-edged stock;
and
- inter-dealer brokers (IDBs),
which actasintermediaries
between GEMMs.
UK: Inter-dealer brokers, which area
category offinancial institutions dealing
inGovernment debt, arerequired tobe
established intheEuropean Economic
Area andseparately capitalised.
S:Undertakings notincorporated in
Sweden mayestablish acommercial
presence onlythrough abranch, andin
caseofbanks, alsothrough a
representative office.S/FIN/W/12/Add.1
Page26Modes ofsupply: 1) Cross-border supply 2) Consumption abroad 3) Commercial presence 4) Presence ofnatural persons
Sector orSub-sector Limitations onMarket Access Limitations onNational Treatment Additional
Commitments
(4)Unbound except asindicated inthe
horizontal section andsubject tothe
specific conditions:
F:Sociétés d'investissement àcapital fixe:
condition ofnationality forthepresident
oftheBoard ofDirectors, the
Directors-General andnolessthantwo
thirds oftheadministrators, andalso,
when thesecurities firmhasaSupervisory
Board orCouncil, forthemembers of
such board oritsDirector-General, andno
lessthantwothirds ofthemembers ofthe
supervisory Council.
GR:Credit institutions should name at
least twopersons whoareresponsible for
theoperations oftheinstitution. Condition
ofresidency applies tothese persons.(4)Unbound except asindicated inthe
horizontal section andsubject tothe
following specific limitations:
I:Condition ofresidence for"promotori
diservizi finanziari" (financial salesmen).