Austria’s financial market is well regulated, Vienna in the middle
Posted On March 17, 2021
Austria’s financial market is well regulated, but Vienna as a location is only in the middle in an international comparison. This is shown by two reviews published on Wednesday. According to the Swiss SFI’s regulatory index, Austria ranks 12th among 31 countries in terms of regulatory issues. Yet there is little demand for Vienna as a financial center. Out of 112 locations worldwide, the federal capital only ranks 54th, slightly less than in previous comparisons.
As in 2020, the regulatory index “Global Financial Regulation, Transparency, and Compliance Index” (GFRTCI), published for the second time by the Swiss Finance Institute (SFI), ranks six European countries among the top ten. The first three places go to Finland, Sweden and Denmark. This is followed by Switzerland, followed by Estonia and Great Britain, and Canada, the first non-European country. According to sda, the sfi announced that the average values for the criteria examined were more or less unchanged compared to the same period in the previous year. It has been shown, however, “that the EU has made great progress in implementing the Basel III framework,” Markus Bürgi, CFO of the Swiss Finance Institute, is quoted in the institute’s announcement.
In the ranking of the Global Financial Centers Index (GFCI) also published today, Vienna only appears in the middle as an Austrian representative. In Europe, London continues to lead, which also ranks second behind New York worldwide. However, Frankfurt has benefited from Brexit and has become the most important financial center in continental Europe and has risen to ninth place worldwide, writes the Reuters news agency.
Because of Great Britain’s exit from the European Union (EU), numerous banks have moved to Frankfurt in recent years. According to the financial supervisory authority BaFin, almost 60 licenses have been issued for financial institutions and insurance groups that have relocated their headquarters from London to the Hessian state capital. Thousands of new jobs have been created in the region. In addition, internationally active institutes such as JPMorgan relocated assets to Frankfurt.
New York and London are followed by the Asian centers of Shanghai, Hong Kong, Singapore, Beijing, Tokyo and Shenzhen. This means that China is represented in the top 8 with three cities, the USA with only one.
The ranking is collected every six months by the consulting firm Z / Yen Group, this time for the 29th time. 126 financial centers worldwide were examined according to criteria such as infrastructure, legal security, availability of qualified workers and quality of life.