Wikileaks has published a confidential working draft of the Trade in Services Agreement (TISA), which is being negotiated among 50 countries, including Asia-Pacific countries such as Hong Kong, Japan, New Zealand, and South Korea, and was discussed in Geneva, Switzerland in the week of June 23. 

On their web-site WikiLeaks say that, “The US and the EU are the main proponents of the agreement, and the authors of most joint changes, which also covers cross-border data flow. In a significant anti-transparency manoeuvre by the parties, the draft has been classified to keep it secret not just during the negotiations but for five years after the TISA enters into force.”

And they continue, “Despite the failures in financial regulation evident during the 2007-2008 Global Financial Crisis and calls for improvement of relevant regulatory structures2, proponents of TISA aim to further deregulate global financial services markets. The draft Financial Services Annex sets rules which would assist the expansion of financial multi-nationals – mainly headquartered in New York, London, Paris and Frankfurt – into other nations by preventing regulatory barriers. The leaked draft also shows that the US is particularly keen on boosting cross-border data flow, which would allow uninhibited exchange of personal and financial data.”

WikiLeaks are concerned that, “TISA negotiations are currently taking place outside of the General Agreement on Trade in Services (GATS) and the World Trade Organization (WTO) framework. However, the Agreement is being crafted to be compatible with GATS so that a critical mass of participants will be able to pressure remaining WTO members to sign on in the future. Conspicuously absent from the 50 countries covered by the negotiations are the BRICS countries of Brazil, Russia, India and China. The exclusive nature of TISA will weaken their position in future services negotiations.”

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CTMfile take: Will TISA make it even more difficult for banks and corporate treasurers to work out what regulations they have to comply with? No-one trusts anyone else anymore……….., it's depressing.