The UK's Constitutional Adviser for the Overseas Territories, Foreign Office official Michael Bradley, visited the British Virgin Islands this week to hold initial talks on a constitutional review. Last year the BVI's Legislative Council passed a resolution requesting the FCO to appoint a commission to review the Virgin Islands (Constitution) Order 1976.
     
     Chief Minister Ralph T O'Neal is concerned that rules for the conferment of Belonger Status should be brought into line with the granting of nationality under the British Nationality Act, 1993, in order to remove confusion over the granting of passports. The BVI government also wants to increase its establishment and is asking for some of the Governor's powers to be transferred over, recognising Virgin Islands' 'constitutional maturity and prudential system of government'.
     
     Recent changes in the BVI have included the establishment of a autonomous Financial Services Commission, in response to international pressure for greater transparency in offshore financial centres. After the FSC's first board meeting in June, Chairman Michael Riegels spoke of the 'awesome responsibility' facing the newly formed body. Mr Riegels congratulated the government for establishing the regulatory body, and drew attention to the importance of the FSC's autonomous nature:
     
     'On the face of it, it may not appear to be a very major decision, but knowledgeable persons have no difficulty in recognizing the importance and the significance of what was done,' he said.
     
     Now the FSC has appointed a director of investment business: Ruth Chadwick arrived recently to take up the new position, which includes overseeing the mutual funds registrar. Ms Chadwick has extensive experience in compliance in both public and private sectors in the UK. She says the next nine months will be critical to determine how BVI will be seen in the international arena; new legislation is under way in the insurance and banking sectors, while the securities industry is next in line.
     
     Mr O'Neal expresses the hope that stricter regulation will attract more revenue to the jurisdiction in the same way as it has for tightly regulated finance centres such as the Channel Islands. And by abolishing income tax, as the BVI has promised to do by 2004, he hopes that the islands will become more attractive to qualified immigrants.