MULTILATERAL TRADE NEGOTIATIONS

Transcription

1 MULTILATERAL TRADE NEGOTIATIONS THE URUGUAY ROUND RESTRICTED 16 March 1992 Special Distribution Trade Negotiations Committee Original: English COMMUNICATION FROM ICELAND CONDITIONAL OFFER BY ICELAND CONCERNING INITIAL COMMITMENTS Revision The following communication is circulated at the request of the permanent delegation of Iceland to the members of the Group of Negotiations on Services. 1. Iceland presented its Conditional Offer concerning Initial Commitments in April 1991 (document MTN.TNC/W/74). The attached revision is based on the draft final text of the General Agreement on Trade in Services and its attached texts of 20 December 1991 (document MTN.TNC/W/FA). The offer is subject to revision to take into account any amendments to these texts. 2. The revised Icelandic offer has been updated as regards format and terminology. The classification of sectors is based on the services sectoral classification list and the corresponding CPC (cf. document MTN.GNS/W/120). 3. This revised offer is conditional and presented in the expectation of equivalent offers with widest possible sectoral coverage by other participants in the services negotiations. The offer is based on the precondition that other parties are ready to bind their regulatory measures in the areas of interest to Iceland and moreover on the balanced and favourable outcome of the Uruguay Round negotiations in general. 4. Furthermore, Iceland reserves the right to modify, reduce or withdraw its offer i.a. in relation to the sectoral coverage, the scope and assessed trade value of commitments offered by other participants, including any m.f.n.-exemptions sought, before presenting a draft schedule on initial commitments. 5. The initial commitments in this offer and any addition resulting from the initial commitments negotiations would be bound in the Icelandic national schedule provided that a balanced outcome in the negotiations is arrived at in accordance with the above-mentioned preconditions. GATT SECRETARAT UR

2 - Page2 J3 0 :4 so D ALL SECTORS Foreign investment may not exceed 25% of the total investment of any given sector without special permission, Total investment by a non-resident or the joint investment of financially related non-residents in enterprises may not exceed 250 mill. ISK within a year unless a special concession is given. All foreign investment of a Foreign State or companies/organizations owned by a Foreign State requires a special concession of the Ministry of Commerce. All Foreign investment and currency transfers must be reported to the Central Bank of Iceland.

3 All provisions of services by natural persons, as self-employed or taking part in a business enterprise with unlimited liability, needs a concession if the persons involved are non-residents. In addition non-residents, natural as well as legal persons; need a trade permit but such regulated trade licenses are required for both Icelandic and non-resident providers of service. Managers, and majority of the members of the board of directors in all domestic enterprises must be domiciled in Iceland unless exempted from this requirement by the Ministry of Commerce.. Page 3 At least one of the auditors of an Icelandic limited liability company must be a resident in Iceland or a competent resident CPA company... ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~

4 Page4 MTN.TNC/ If a non-resident or a company/organization concludes agreement on real-estate lease exceeding a period of three years or more a permission of the Ministry of Justice is needed. Non-residents may only acquire real estate in conjunction to their business activities and obtain always only ordinary proprietary rights linked to the real estate. Non-residents are thus excluded from obtaining full property rights of real estate if unusual rights are linked to it, such as exploitation rights as regards waterfalls, geothermal energy, etc. All contracts concerning ownership and longterm use of real-estate by non-residents are not valid until *the Ministry of Justice has endorsed it in writing.

5 Page CapitalMovement Foreign exchange restrictions, except those regarding short term capital movements and direct investment by non-residents will be fully liberated as from January 1, Movement of Personnel Entry into and residence in the national territory Entry into and residence in the national territory are regulated by the Icelandic Immigration Act. Unbound. Authorization i on within the tthe currency to work national (Remark: Iceland does not contemplate any changes in these regulations as a remit of this offer). Work permit is required for nonresident natural persons if the purpose of entry into Icelandic territory is to undertake work as a self-employed provider of services or a employee. Permit will be issued according to the Icelandic labour market tests and practices.

6 Page 6 -t.4 Work permit requirement is temporary entry ofolders of nonproviders ports. Unbound. }asporary entry of service pr coviders Iceland shall permit, without requiring compliance with labour market tests, the temporary entry of following service providers who intra-corporate transferees: 1) executives - persons h1'oo primarily direct the management of the organization, covered by the agreement and establish it's goals and generally have a wide decision making authority. Executives would not necessarily perform tasks related to the actual provision of the service. 2) managers - persons who direct the organization covered by the agreement or it's department and are in a senior level responsible of the

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8 4) service sellers - persons who as representatives of a service provider covered by the agreement are seeking temporary entry in Page7 purposes of negotiation for the sale of services or entering into agreements to sell services for that service provider, where this selling activity is not directed to the general public. service providing functions of the organization by supervising and controlling and having also authority to hire and fire personnel or recommend such and other personnel actions. 3) specialists - persons within the organization, who possess knowledge at an advanced level of expertise or otherwise essential or proprietal to the organization service, research equipment, techniques or management.

9 Page 8 1. BUSINESS SERVICES A. Professional Services a. Legal Services Legal advice activities on home country law Legal advice on international law and Foreign legal consultance b. Accounting, auditing arid book-keeping services. Icelandic law exam or an equivalent thereto, conditions of nationality, or previous residency of at least one year when practising legal services as a member of the General Bar Association in Iceland At least one of the auditors of a Icelandic limited liability company must be resident in Iceland or competent resident CPA company.

10 Procedures to establish whether exams and competence requirements are equivalent to Icelandic requirements.. Page9 1. A Professional Services (cont.) d. Architectural services e. Engineering services f. Intergrated Engineering services cj. Urban pfanning and landscape architectural services -

11 Page10 1. BUSINESS SERVICES (cont.) h. Medical and dental services s Procedures to establish whether exams and competence requirements are equivalent to Icelandic requirements. i. Veterinary services Number of veterinarians in rural districts is limited. B. Computer and related Services a. Consultancy services related to the installation of computer hardware

12 ICELAND.COMMITMENT REV BUSINESS SERVICES (cont.) b. Software development (including software implementation) c. Data processing services (843) d. Data base services (844) e. Other. Concession needed if personal-data is to be processed outside Icelandic jurisdiction. C. Research and Development Services b. R&D services on social sciences and humanities Procedures to establish whether exams Page 11 are equivalent to Icelandic require- ments..

13 Page12 1. BUSINESS SERVICES (cont.) c. Interdisciplinary R&D services s Unbound D. REAL ESTATE SERVICES a. Real estate services involving own or leased property b. On a Fee or Contract basis.(822) Deposits or liability insurance to cover loss caused to clients. All licences to provide services on sales of real-estate are personal authorizations. Deposits or liability insurance to cover loss caused to clients. All licences to provide services on sales of real-estate are personal authorizations. Condition of one year previous residency in order to obtain licence to provide services in residential building and land sales, and other related intermediary services for purchase and sale of real-estate. Condition of one year previous residency in order to obtain licence to provide services in residential building and land sales, and other related intermediary services for purchase and sale of real-estate..

14 Page BUSINESS SERVICES (cant.) E. Rental/Leasing Services without Operators a. Relating to ships b. Relating to aircraft c. Relating to other transport equipment d. Relating to other machinery and equipment e. Other.

15 Page - -j 4>.o 1. BUSINESS SERVICES (cont.) F. OTHER BUSINESS SERVICES a. Advertising services. b. Market research and public opinion polling services c. Management consulting services d. Services related to man. consulting e. Technical testing and analysis services. f. Services incidental to agriculture, hunting and F'orestry. (881)

16 1. BUSINESS SERVICES (cont.) F. OTHER BUSINESS SERVICES (Cont.) i. Services incidental to manufacturing (884) k. Placement and supply services of Personnel m. Related scientific and technical consulting services n. Maintenance and repair of equipment (i.e ; not including maritime vessels, aircraft or other transport equipment) Procedures to establish if foreign exams Page15 give equivalent competence.

17 Page16 z -a -t do 1. BUSINESS SERVICES (cont.) F. OTHER BUSINESS SERVICES (Cont.) o. Building- services p. Photographic Services q. Packaging services. r. Printing, publishing. s. Convention services Nationality or residency requirement of at least one year for publishing of news papers or magzines within the national territory.

18 Page17 2. COMMUNICATION SERVICES: 3. Courier Services (7512) C. Telecommunications Services (752) e. Telegraph services (7522) f. Facsimile services h. Electronic mail (7523) i. Voice mail (7523)

19 Page18 2. COMMUNICATION SERVICES (cont.) j. On-line information and data base retrieval k. Electronic data interchange (EDI) m. Code and protocol conversation n. On-line information and/or data processing (incl.transaction processing)

20 Page COMMUNICATION SERVICES (Cont.) D. Audio visual Services (Radio and TV, cultural and non-cultural) on cross-border transmission or reception within national territory. Broadcasting and cable transmission (retransmission of broadcasts by cable included) are subject to authorization and obligations as specified in the licence including translation obligation. Licences required from the Ministries of Culture and of Communications. a. Motion picture and video tape production and distribution services xes

21 Page20 2. COMMUNICATION SERVICES (Cont.) b. Motion picture projection service c. Radio and television services (9613) d. Radio and television transmission services (7524) Concession is required (by the PTT) and Ministries of Culture and of Communications. e. Sound recording

22 Page CONSTRUCTION AND RELATED ENGINEERING SERVICES A. General construction work for buildings. (512) Economical tests Unbound. Procedures contractor meets requirements to establish whether equivalent the to Icelandic conditions for contractors and certified professional competence. Rules concerning entry into and residence of personnel in the national territory. B. General construction - work for civil engineering (513) Economical tests. Unbound Procedures contractor meets requirements equivalent to establish whether the to Icelandic conditions for contractors and certified professional competence. Rules concerning entry into and residence of personnel in the national territory.

23 Page CONSTRUCTION AND RELATED ENGINEERING SERVICES (Cont.) C. Installation and assembly work ( ) Procedures contractor meets to establish whether equivalent the requirements to Icelandic conditions for contractors and certified professional competence. Rules concerning entry into and residence of personnel in the national territory. D. Building completion and Finishing work (517) E. Other. Procedures contractor meets to establish whether equivalent the requirements to Icelandic conditions for contractors and certified professional competence. Rules concerning entry into and residence of personnel in The national territory.

24 Page DISTRIBUTION SERVICES (excluding trade in arms alcoholic beverages and pharmaceutical products) A. Commissions agents' services B. Wholesale trade services C. Retailing services D. Franchising E. Other.

25 Page EDUCATIONAL SERVICES A. Primary education services B. Secondary education services C. Higher education services D. Adult education E. Other education services Icelandic teachers exams or equivalent thereof and procedures to establish the equivalence. Icelandic teachers exams or equivalent thereof and procedures to establish the equivalence. Icelandic teachers exams or equivalent thereof and procedures to establish the equivalence. Procedures to establish competence requirements if provider of services is established within the national territory.

26 Page 6. ENVIRONMENTAL SERVICES A. Sewage services B. Refuse disposal waste Environmental. operating licence for hazardous waste processing. C. Sanitarian and similar services D. Other.

27 is under following may be Page FINANCIAL SERVICES A. All Insurance and insurance related Services Remark: Law on Insurance activity revision and therefore the limit. on nat.treatment abolished. a. Life, accident and health insurance services Icelandic registered companies are subject to requirements of Icelandic citizenship of the Founders. Foreign insurance companies are entitled to offer insurance services through branch if authorization is insurance activities in home country for a period of 5 years previous to authorization.

28 7. FINANCIAL SERVICES (Cont.) b. Non-life insurance services Icelandic registered companies are subject to requirements of Icelandic citizenship of the Founders. Foreign insurance companies are entitled to offer insurance services through branch if authorization is insurance activities in home country for a period of 5 years previous to authorization, investment of funds matching insurance liabilities in certain assets. c. Reinsurance and retrocession d. Services auxiliary to insurance (including broking and agency services. Residence requirements of agencies and branches of foreign insurance companies, is a condition for broking and agency services Cross-border. Page 27

29 Page FINANCIAL SERVICES (Cont.) B. Banking and other financial services' (excluding insurance) Restriction (in domestic and foreign currency) remain on the operation of accounts by residents with nonresident institutions. Full liberalization by January 1, 1995, the latest. Commercial presence: General authorization is required from the Ministry of Commerce. With the authorization of the Ministry of Commerce foreign banks or other foreign credit institutions may establish a branch or a representative office. Cross Border Trade: Transborder payments must be channelled through an authorized established financial institution and also transactions in securities.

30 Page29 7. FINANCIAL SERVICES (Cont.) B. Banking and other financial services (excluding insurance) a. Acceptance of deposits and other repayable Funds From the public Foreign ownership of Equity shares of Icelandic banks of limited liability must never exceed 25 %. In Icelandic savings banks previous residency of at least one year is a condition to own equity shares. The Ministry of Commerce grants concession for branches of foreign credit institutions.

31 Page FINANCIAL SERVICES (Cont.) B. Banking and other financial services (excluding insurance) b. Lending of all types, incl. inter alia, consumer credit, mortgage credit, factoring and financing of commercial transaction. Some restrictions remain on longterm financing, consumer credit and mortgage credit. Full liberalization by January 1, 1995, the latest. c. Financial leasing d. All payment and money transmission service Condition of licence is that the manager of a financial leasing company is a resident and the majority of the board, except if the person concerned is a citizen of one of the other Nordic countries.

32 Page FINANCIAL SERVICES (Cont.) e. Guarantees and Commitments Condition of trade permit for securities dealers is one year previous residency. f. Trading for own account or for account of customers, whether on an exchange, in an Over-the-counter market or otherwise, the following: -transferable securities (81321) -other negotiable instruments and financial assets incl. bullion. (81339) Authorization and establishment requirement to operate as an intermediary for transactions in transferable securities and shares. Restrictions on purchase and sale of short term securities. Full liberalization by January 1, 1995, at the latest. Restrictions on purchase and sale of short term instruments, and import and export of bullion and other precious metals. Full liberalization by January 1, 1995, the latest. Requirement for Trade authorization of intermediaries is Icelandic residency of at least one year, except for citizens of any other Nordic country. The Manager of a management company and a depositary must be an authorised trader of securities.

33 Page32 7. FINANCIAL SERVICES (Cont.) g. Participation in issues of all kinds of securities, incl. under-writing and placement as agent (whether publicly or privately) and provision of services to such issues (8132) Requirement of other Nordic country. The Manager of a management company and a depositary for Trade authorization of intermediaries is Icelandic residency of at least any one year, except for citizens must be an authorized trader of securities. i. Asset management, such as portfolio management, all forms of collective investment management, pension funds management, custodial depository and trust services. Authorization and establishment requirement for licence to operate as management company. Requirement of other Nordic requirements are equivalent to Icelandic for Trade authorization of intermediaries is Icelandic residency of at least one year, countries. except for citizens The Manager of a management company and a depositary must be an authorized trader of securities. Procedures to establish whether competance requirements.

34 ;ector/sub-sector Limitations on market access Limitations on national treatment Page33 7. FINANCIAL SERVICES k. Advisory and other auxiliary financial services on all the activities listed in Article 1B of MTN.TNC/W/50, inc1. credit reference and analysis, investment and portfolio reasearch and advice, advice on acquisitions and on corporate restructuring and strategy.

35 Page 7. FINANCIAL SERVICES (Cont.) 1. Provision and transfer of financial information, and financial data processing and related software by providers of other financial services. Concession needed if personal data is to be processed outside Icelandic jurisdiction. C. Other

36 is one year Page TOURISM AND TRAVEL RELATED SERVICES A. Hotels and Restaurants (including catering) Condition of licences previous residency. B. Travel Agencies and tour operators Deposits or liability insurance to Condition of licenses is one year cover loss caused to clients. previous residency of the manager. C. Tourist Guides services The right to exercise the profession is reserved for resident authorized tourist guides. Foreign resident guides may be granted temporary licence on ad hoc basis.

37 Page RECREATIONAL, CULTURAL AND SPORTING SERVICES. (other than audiovisual services) A. Entertainment services (including theatre, live bands and circus services) B. News agency services C. Libraries, archives, museums and other cultural service.

38 Page RECREATIONAL. CULTURAL AND SPORTING SERVICES. (other than audiovisual services) (Cont.) D. Sporting and other recreational services, except as regards gambling, coin machines and like activities. E. Other

39 General Requirements: Ship-registration under the Conditions of nationality Icelandic Flag is restricted t.o Icelandic citizens and Icelandic established companies. Registration of Fish vessels is limited to Icelandic citizens and companies fully owned by Icelandic citizens. Page TRANSPORT SERVICES A. Maritime transport services Cabotage: Authorization requirements. Conditions of nationality.

40 11. TRANSPORT SERVICES (Cont.) A. Maritime Transport services (Cont.) a. Passenger transportation b. Freight transportation c. Rental of vessels with crew d. Maintenance and repair of vessels e. Pushing and towing services f. Supporting services for maritime transport Not applicable Unbound Procedures to establish if certified professional competence requirements are fulfilled.. Page 39

41 to = 00z A4- z a a :4 Page 40 Sector/Sub-sector Limitations on market access pursuant to Article XVI Limitations on national treatment pursuant to Article XVII 11. TRANSPORT SERVICES (Cont.) B Internal Waterways Transport. Not applicable Unbound Not applicable Unbound C. AIR TRANSPORT SERVICES a. Passenger Transportation b. Freight Transportation c. Rental of aircraft with crew (J. Maintenance and repair of aircraft e. Supporting services for air transport

42 Page41 -& :4 I-b :CELAND COMMITMENT REV TRANSPORT SERVICES (Cont.) E. Rail Transport Not applicable Unbound Not applicable Unbound F. Road Transport Services. a. Passenger transport at ion. Authorization. Procedures to establish required for clomnnercial land professional competence and special transport services. licences required for drivers. b. Freight Transportation c. Rental of Commercial vehicles with operator

43 actor/sub-sector Limitations on market access Limitations on national treatment Page 42 CELAND COMMITMENT REV TRANSPORT SERVICES (Cont.) F. RoadIrnport, Services. d. Maintenance and repair of road transport equipment Procedures to establish professional competence requirements. e. Supporting services for road transport services. H. Services auxiliary to all modes oftransport a. Cargo-handling services r'o limitation b. Storage and warehouses services

44 Page TS (Cont.) c. Freight transport agency services d. Other I. Other Transport Services

45 ctor/sub-sector Limitations on market access Limitations on national treatment 1. This offer is based on the understanding on commitments in Financial Services (MTN.TNC/W/FA) and is subject to the assumption on mutually acceptable offers made by other parties. Establishment, cross-border provision of Financial Services, operating conditions and conditions relating to commercial presence are understood to be subject to normal prudential considerations. D -4 a ELAND COMMITMENT REV QJJEflERVCES NOT INCLUDED ELSEWHERE Unbound Unbound