Technical Adviser, Anguilla Financial Services Commission (AFSC)

Reference: PG/AIA/0425
Location: The Valley, Anguilla
Duration: One year
Closing Date: 12 Jul 2013

Nature of project: Advisory
Start date: As soon as possibleResponsible to: Director, Anguilla Financial Services Commission or nominee
Emoluments Package: £44,000 per annum (tax free in country of assignment) plus allowances

1. Project Background

Since the commencement of the international financial crisis regulatory authorities have come under increasing scrutiny and face increased calls to enhance their supervisory frameworks. The G20 has joined this call and has tasked the Financial Stability Board (FSB) to review the regulatory infrastructure that countries have in place, raising the possibility of sanctions for those failing to meet requirements. This, together with earlier calls to meet the G20/OECD mandates on exchange of information and transparency, and the evolving changes to the international regulatory architecture, have placed considerable strains on small states such as Anguilla. Anguilla plays host to an international financial services centre – captive insurance being one of its key business lines – and are already facing financial strains as a result of the global economic downturn. Taking these factors into consideration, Anguilla has recognised the need to enhance its supervision of the financial sector in general, and particularly that of its captive insurance industry.

A major challenge faced by Anguilla is its small size; with a population of just 13,000 the country faces challenges in meeting its supervisory resource needs, particularly given high staff turnover, often faced by many developing countries. This affects the continuity of reform programmes and sometimes forces countries such as Anguilla to source key personnel from outside the country. The significant expansion in supervisory responsibility highlights the growing need to enhance supervisory resources.

The Anguilla Financial Services Commission (AFSC) is a relatively new establishment, incorporated in 2004 as an independent licensing and regulatory body responsible for the regulation and supervision of the non-bank financial services industry. Currently, it is manned by a small number of local staff, who, in the main lack the experience and expertise needed to implement the reforms. While this project will not alleviate the constraints faced by the sheer size of the authority, it is expected to help augment the capacity of the AFSC to bring about more effective implementation of international standards.

2. Project Purpose

The purpose of this project is to improve the capacity of the AFSC to regulate the captive insurance industry of Anguilla's financial sector.

3. Project Outcome

This project is expected to contribute to the strengthening of policies and systems that build resilience and support inclusive and sustainable economic growth in member states.

4. Scope of Work

Summary of Project

It is proposed that this project will deploy one expert with extensive financial services regulatory experience to be situated at the AFSC for a period of 12 months. Working under the Director, the Expert will work alongside AFSC staff to increase their capacity in offsite and onsite regulation, targeting both human resource capacity as well as developing examination tools and procedures.

In addition to the capacity building being provided by the Expert, the project will provide capacity development to AFSC personnel by supporting their subscriptions to an online financial services regulation training provider for one year. The training modules available through the service which will be taken by each staff member will be based upon recommendations made by the Expert, stemming from the capacity assessment that he / she conducted, and will be agreed in advance with the AFSC. The project will take a specific focus on the captive insurance industry.

Project Outputs

i. AFSC'S insurance legislation and regulatory framework, onsite examination technique and report writing capacity weaknesses identified and addressed

Expected Activities to include, but will not be limited to:

· Advise on any weaknesses identified in legislation and provide recommendations for how they may be addressed

· Capacity assessment addressing AFSC'S onsite examination technique and report writing capacity weaknesses;

· Identify and agree areas of weakness to be addressed;

· Train AFSC staff on areas of identified weakness in onsite examination.

ii. AFSC onsite examination tools, including manuals and guidelines to be used by AFSC personnel reviewed and developed

Expected Activities to include, but will not be limited to:

· Review ongoing licensee supervision examination manuals and procedures;

· Develop licensee supervision examination manuals and procedures.

iii. AFSC's offsite examination capacity weaknesses identified and addressed

Expected Activities to include, but will not be limited to:

· Capacity assessment of AFSC's offsite examination capacity weaknesses

· Identify and agree areas of weakness to be addressed;

· Train AFSC staff on areas of identified weakness in offsite examination;

· Conduct and report on demonstration offsite examinations, observed by AFSC officials.

iv. AFSC offsite examination tools, including licensee reporting forms, statistical collection methods, and manuals and guidelines for AFSC personnel use reviewed and developed

Expected Activities to include, but will not be limited to:

· Review offsite examination tools and procedures, including licensee reporting forms and statistical collection methods, computation of allowable assets and limits for the purpose of calculating margins of solvency;

· Develop offsite examination tools and procedures, including licensee reporting forms and statistical collection methods, guidelines for allowable assets and limits for the purpose of calculating margins of solvency.

5. Implementation Arrangements

The Expert will be initially based at the Anguilla Financial Services Commission for the duration of the project (1 year), and will be supervised by the Director of the AFSC.

The project will be managed by the Technical Cooperation & Strategic Response Group (TCSRG) of the Commonwealth Secretariat, with technical support provided by Economic Affairs Division (EAD).

The Commonwealth Primary Contact Point (PCP) and EAD will be kept informed on project progress during implementation, and be given the opportunity to provide feedback at the mid-term evaluation.

Monitoring and Evaluation of the project will take place during the course of its implementation. The Adviser will be expected to provide an Inception Report within two months, followed by a progress report at 6 months and a final report on completion to the designated Project Manager, TCSRG, at the Commonwealth Secretariat.

6. Transfer of Expertise

The Commonwealth Secretariat attaches particular importance to the transfer of expertise and knowledge to counterparts. The expert in his/her discussions with the Reporting Officer should draw attention to the need for key staff to be assigned as counterparts at the beginning of the assignment. This should be reported on in the Inception Report (normally due after three months). A training programme for key counterpart staff should be produced by the expert and agreed with the Reporting Officer. An update should be provided on this in the first Progress Report (normally due after six months).

7. Person Specification

The successful candidate should possess the following experience and qualifications.

Professional Experience

· Extensive experience as a director, or in a similar, of a regulatory authority with responsibility for financial services regulation and supervision;

· Sound knowledge of best practice and developments in supervisory and regulatory concepts and procedures;

· Experience in regulation and supervision of international insurance, trust and company management business, mutual funds, international banking;

· Knowledge of Basel Core Principles 1 & 2, Insurance Core Principles developed by IAIS and the International Organisation of Securities Commission (IOSCO);

· Proven experience of organisational development and management reform;

· Experience in capacity development / training;

· Experience in working in Caribbean island states / other small state jurisdictions would be an advantage.

Educational Qualifications

· Advanced degree (Masters Degree or equivalent) in Economics or other relevant subject from a recognised tertiary institution.

· Designation or membership of a professional insurance body would be an advantage.

How to apply

Job Description