The British Virgin Islands or more affectionately called the BVI are tiny islands that make up part of the group of about sixty islands called the Virgin Islands. Road Town, Tortola is the Capital city and the location of most of the islands offshore financial services. The BVI is a British Overseas Territory and so the law of the country is based on the British Legal system and English Common Law. One of the two pillars of the economy is offshore financial services. The islands offer long standing political stability and all the security of the British Flag to International Business Companies. The BVI offshore financial center is well developed and provides quality offshore services.
The burdens of high taxation, complex laws, and over regulation in industrialized countries has increased the need for offshore Financial Center’s such as the British Virgin Islands. The BVI Offshore Financial Center which is pioneering in offshore financial services provides services such as the incorporation of offshore business companies. Zero taxation on all local taxations, flexible company structure, affordable prices, user friendly legislature, asset protection and most importantly political and economic stability are some of the features that account for the BVI’s popularity.
There have been many factors which have contributed to the BVI offshore financial center’s popularity. The government of the Britsh Virgin Islands has for years been resilient in its efforts to maintain the integrity and security of this offshore jurisdiction. The BVI Companies Registry and the Financial Services Department have a capable and efficient workforce who further strengthens this financial center. These government Departments along with minimum regulations have protected the BVI offshore jurisdiction, and have continued to formulate legislature, keeping the territory’s laws among the best and most flexible. The Government ensures that the legislature meets the financial sector’s interest and needs, further encouraging the growth of the offshore financial services.
Mature in its operations, the BVI offshore financial center have been in existence for over 20 years. The British Virgin Island’s have been quickly expanding its range as an offshore financial center including: private banking services, corporate banking, investment management, insurance, and mutual funds. Almost all the financial services offered in the British Virgin Islands are closely monitored by the country’s government. As a British Overseas territory the islands external government and defense is the responsibility of Britain yet the internal government of the BVI is solely responsible for managing and developing its offshore financial services. The Government of the BVI is devoted to the development of the offshore financial services industry.
It is somewhat uncommon for a government to devote so much time, planning and resources to such a globally competitive industry. The BVI International Business Companies Act reflects the changes in the global economy. Amendments to the act have allowed for online incorporation and automated name reservation of companies. The telecommunication system and the efficiency of the BVI International Business Company registry are superior and simply enhance BVI offshore services.
The British Virgin Island’s is a well known offshore financial center; together with the devotion of the government this jurisdiction has maintained the integrity and confidentiality of its offshore services. As a tax haven, the BVI decreases the burdens of over taxations and there is no taxation on wealth and inheritance. There is no restriction on offshore companies in the BVI to conduct business overseas or open bank accounts internationally. Offshore financial services account for almost half of the government revenues and offshore financial industry is closely regulated.