Offshore News: December 2006
07.12.2006 Today, on December 8, 2006, the Inter-American Development Bank (IDB) confirmed that a USD 25 million fast-disbursing loan for Belize has been approved. The loan will be issued to support Belize government's agenda of reforms related to restoring macroeconomic and financial stability, raising investors' confidence and improving business climate in the country.Accordingly, Belize will be able to strengthen its fiscal position by raising revenues and cutting expenditures. Belize had already reduced the fiscal deficit from 8.7% of GDP in 2004 to 3.3% in 2005. There will be 2 tranches of the loan - USD 10 million at first and USD 15 million later. As to the conditions of loan-taking, it is given for 20 years, with a 5-year grace period and a LIBOR-based interest rate.
28.12.2006 The ratification of the Hague Convention on the Law Applicable to Trusts and on their Recognition of July 1st 1985 (Hague Trust Convention) was approved by the Swiss Parliament. The Swiss Federal Council's bill accepted by the Parliament authorises the Swiss Federal Council to ratify the Hague Trust Convention and introduce new legal provisions into Swiss law to deal with jurisdiction, applicable law, recognition and debt enforcement. Switzerland's ratification of the Hague Trust Convention has been supported and furthered for many years by the Society of Trust and Estate Practitioners (STEP). The entry into force of the Hague Trust Convention and of the new internal legal provisions is expected in July 2007.
29.12.2006 The Bermuda Companies Act 2006, which incorporates a wide range of improvements to legislation which essentially dates from 1981, is expected to come into force shortly. The new legislation has many important aspects. First of all, companies may now have unrestricted objects clauses, there is no longer a minimum level of share capital and companies may now own their own shares. Then, secondary company names are permitted not only in English, notices and documents may be sent by e-mail or displayed on a web-site. Also, in accordance with the new legislation, company directors are authorized to obtain more extensive liability insurance.
Meanwhile, Bermudan companies are formed by registration under the Companies Act 1981 as amended, which usually takes 2-5 days.
