Dear Readers,

The annual press conference of the Association of Foreign Banks took place on March 14, 2018. The main focus was on Brexit. For example, we have reported that those banks that are considering relocations due to Brexit continue to have a strong interest in the German financial market. In addition, we have positively highlighted the achievements of the supervisory and political bodies over the past 18 months, but also pointed out that there is still a need for action in areas such as labor law and the internationalisation of German law. The latter is problematic in view of the fact that German law is often not agreed internationally in framework agreements, because German courts also examine these in commercial transactions as well as general business conditions for consumers. We have also forecasted that, as a result of Brexit, around 20 institutions will expand their presence in the financial center and create up to 5,000 new jobs over the next two to three years, many of which will be placed locally. Despite the increased probability of a transition period until the end of 2020, the affected institutions still plan to have fully operational units in Germany on 29 March 2019, as it will not be certain until autumn at the earliest whether such a period will actually exist. We also provided information on the stable number of employees in the member institutions, which can be attributed to the good framework conditions and the continuing prosperity of the German economy. In view of the expectation of a further internationalisation of the financial market, we have also announced that the VAB will provide even more information in English and establish English-speaking working groups. We will inform the members about this shortly. But now I wish you a happy Easter time.

Kind regards
Dr. Oliver Wagner
Managing Director

Monthly Information II/2018