RESTRICTEDWORLD TRADE
ORGANIZATIONS/FIN/M/22
25 January 1999
(99-0261)
Committee on Trade in Financial Services
REPORT OF THE MEETING HELD ON 19 JANUARY 1999
Note by the Secretariat
1. The twenty-third meeting of the Committee on Trade in Financial Services was chaired by
Mr. Yoshio Okubo of Japan.  The discussion followed the agenda contained in airgram
WTO/AIR/1002.
2. The Committee discussed the status of acceptances of the Fifth Protocol to the GATS. The
Chairman reported that 23 Members1 had accepted the Protocol of the 70 Members concerned.
Among the 47 Members which had not yet accepted, 12 Members stated that they could not meet the
deadline of 29 January or were unsure about their acceptance by that date due to procedural delay2,
while 28 Members (not counting the European Commission separately) indicated that they would be
able to accept shortly, or were hopeful that  they would able to meet the deadline.3  In addition, the
Republic of Korea announced that it would be submitting an improved offer in financial services very
soon.  The European Communities added that Luxemburg, which was experiencing procedural delay
in its ratification process, would nonetheless apply its offer pending the completion of its internalprocedures.
3. Delegations which had accepted the Protocol expressed their thanks for the information
provided by those Members which had not yet accepted, and for the progress being made in their
acceptance procedures.  Nevertheless, those Members were urged to accept as soon as possible in
order to avoid last-minute surprises. It was pointed out that in future negotiations, there was a need to
better take into account the required procedures, particularly in countries in which parliamentaryratification was required.  Several delegations stated that they would welcome an extension of the
period for acceptance beyond the current deadline of 29 January.  One delegation suggested an
extension until 29 June 1999.  The Chairman reminded delegations that if not all Members could
accept the Protocol by the deadline of 29 January, the Members which would have accepted the
Protocol by that date would need to decide on its entry into force within a period of thirty days.  Adecision to extend the deadline for acceptance would need to be taken by the Council for Trade in
                                                     
1Bahrain; Canada; Chile; Colombia; Cyprus; Czech Republic; Ecuador; Egypt; Netherlands; New
Zealand; Hong Kong, China; India; Iceland; Israel; Japan; Kuwait; Mauritius; Pakistan; Peru; Singapore;
Switzerland; Turkey; and the United States. Brazil, Costa Rica, Dominican Republic, El Salvador and Uruguay hadaccepted subject to ratification or ad referendum.
2Australia, Bolivia, Brazil, Costa Rica, Dominican Republic, European Communities (for Luxemburg),
Ghana, Honduras, Nicaragua, Philippines, Poland, and Ur uguay.  Nicaragua expressed its intention to accept the
Protocol subject to ratification shortly.
3Bulgaria, European Communities (and its Member States except Luxemburg), Hungary, Indonesia,
Korea, Macau, Malta, Mexico, Norway, Romania, Senegal,  Slovak Republic, South Africa, Sri Lanka, Thailand,
and Venezuela.
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Services.  Consultations should take place in the early part of February with regard to any decisions
required in such a case.
4. The United States made a statement indicating that it had serious concerns with Japan's
implementation of its commitments under the bilateral insurance agreement between the twocountries.  Those commitments would be multilateralized with the entry into force of the Fifth
protocol, and the U.S. would reserve its rights with respect to Japan's implementation of its
commitments under the Protocol.  Japan responded by stating that it had been faithfully implementing
the commitments made under the Fifth Protocol even before the entry force of the Protocol, and that it
intended to continue doing so.
5. The date of the next meeting would be decided in consultation with the new Chairperson to be
selected by Members.
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