Opening up restricted financial markets to foreign competition will step up the flow of investment capital and expertise to where it is most needed, and particularly to the emerging economies. So important are the Geneva negotiations to all business sectors that the International Chamber of Commerce and the Financial Leaders Group have joined forces to appeal to governments for a successful outcome. We write to you in the name of these two private sector organizations. As the international representatives of financial institutions and corporate users of financial services, we urge the WTO member governments not to miss this extraordinary opportunity. Every nation must play its part through its willingness to liberalize.
Liberalization encourages wealth creation by providing easier and more varied access to capital.
The presence of foreign participants encourages local financial service providers to improve their performance. In turn, local enterprises benefit from greater access to increased inflows of capital and expertise. Success in the financial services negotiations will crown the achievements of the WTO and its predecessor, the GATT, in dismantling barriers to trade and investment over 50 years. During this period, international trade has expanded faster than domestic economic growth, and has thus become the driving force for global economic progress. The liberalization of trade in goods and services will never achieve its full potential if it is not accompanied by corresponding liberalization of financial services.