Joe Moynihan, chief executive of Jersey Finance, said he welcomed recent positive reports on the shape of the Island’s economy, which he said would help ‘reinforce’ its ability to withstand the health crisis.
Two independent papers released in recent weeks – the Standard and Poor’s credit rating review and the EY ITEM Club’s winter forecast for the Channel Islands – indicated that Jersey’s economy should rebound this year and that it was expected
to suffer less damage than the UK’s.
The ITEM Club report outlined in particular that the ability of staff in the finance sector, which makes up more than 40% of the Island’s economic output, to work from home had been a key advantage, as it had
helped to keep the industry running.
Mr Moynihan added that the positive comments would help to boost the finance industry’s ‘stability and resilience’.
‘It is fair to say that the finance industry has remained resilient throughout the past year and, in spite of the ongoing challenges caused by the pandemic and the lead up to Brexit, the industry has not experienced the same level of disruption as other island sectors,’ he said.
‘The comments made by [economist] Mr [Martin] Beck, highlighting that the EY report shows Jersey’s wider economy is expected to fare better because of the adaptability of the finance industry, are a welcome reinforcement of the positive results seen in the Business Tendency Survey from the last quarter published last week, and by Standard and Poor’s recent endorsement of Jersey’s economic position.
‘All of these are welcome as they reflect and reinforce our stability and resilience, as we navigate and adapt to these extraordinary times.’
He added: ‘The outlook for the coming months remains cautiously optimistic and we remain confident that investors will continue to see Jersey as a jurisdiction of choice, with an attractive and sophisticated ecosystem for financial services.’
Mr Moynihan said that he believed the resilience of the finance sector would play a key role in helping the Island’s other sectors to recover.
‘Since the international finance industry was born 60 years ago, it has been a major contributor to the local economy – supporting and creating jobs across other sectors,’ he said.
‘With over 13,400 Islanders working in our industry, £1 million a day is spent by the finance industry on local goods and services, so the resilience of the finance industry will help to support the wider local economic recovery.’
