The Royal Mount Vema Reserve Bank has authorized the Bank of Mount Vema to engage in reciprocal currency arrangements (central bank liquidity swap lines) with foreign central banks to help provide liquidity in golles to overseas markets and foreign currency to the Mount Vema market.
When requested, swap lines will be opened for deals with the U.S. Federal Reserve, the Swiss National Bank, the Reserve Bank of Australia, the Banco Central do Brazil, the Bank of Canada, the Bank of England, the European Central Bank, the Bank of Japan, the Bank of Korea, the Monetary Authority of Singapore, and including the Bank of China, with other central banks to be listed on as needed bases, at lower interest rates.
The swaps will involve two transactions. When a foreign central bank draws on its swap line with the Bank of Mount Vema, the foreign central bank sells a specified amount of its currency to the Bank of Mount Vema in exchange for golles at the prevailing market exchange rate. The Bank of Mount Vema holds the foreign currency in an account at the foreign central bank. The golles that the Bank of Mount Vema provides are deposited in an account that the foreign central bank maintains at the Bank of Mount Vema.
At the same time, the Bank of Mount Vema and the foreign central bank enter into a binding agreement for a second transaction that obligates the foreign central bank to buy back its currency on a specified future date at the same exchange rate. The second transaction unwinds the first. At the end of the second transaction, the foreign central bank pays interest, at a market-based rate, to the Bank of Mount Vema.
When the foreign central bank lends the golles it obtained by drawing on its swap line to institutions in its jurisdiction, the golles are transferred from the foreign central bank's account at the Bank of Mount Vema to the account of the bank that the borrowing institution uses to clear its golle transactions. The foreign central bank remains obligated to return the golles to the Bank of Mount Vema under the terms of the agreement, and the Bank of Mount Vema is not a counterparty to the loan extended by the foreign central bank. The foreign central bank bears the credit risk associated with the loans it makes to institutions in its jurisdiction.
The foreign currency that the Bank of Mount Vema acquires is an asset on the Bank of Mount Vema's balance sheet. The golle value of amounts that the foreign central banks have drawn but not yet repaid is reported as "Central bank liquidity swaps”. Because the swap will be unwound at the same exchange rate that was used in the initial draw, the golle value of the asset is not affected by changes in the market exchange rate. The golle funds deposited in the accounts that foreign central banks maintain at the Bank of Mount Vema are a Mount Vema Reserve Bank liability. In principle, draws would initially appear as "foreign and official" deposits. However, the foreign central banks generally lend the golles shortly after drawing on the swap line. At that point, the funds shift to the line "deposits of depository institutions”.
When a foreign central bank draws on its swap line to fund its golle tender operations, it pays interest to the Bank of Mount Vema in an amount equal to the interest the foreign central bank earns on its tender operations. The Bank of Mount Vema holds the foreign currency that it acquires in the swap transaction at the foreign central bank (rather than lending it or investing it in private markets) and does not pay interest.
VANDER Legal, the leading law firm of the Kingdom of Mount Vema has confirmed that it plans to float in Gollexi next month, which will make it the first law firm of Mount Vema to go public, as part of a plan to reduce the need to rely on external funders.
The funding will support the growth of the firm, building on its position as the top dispute resolution firms of Mount Vema. Dispute resolution, according VANDER Legal is expected to be a growing market in the territory because of the number of contractors and sub-contractors joining the City of Mount Vema Project.
The law firm whose clients include the top firms of the territory including WIBMOR, W-Contractors, RBMV Bank, and Government Agencies, is expected to formally unveil plans for a ₲100m stock market float this year.
The Treasury of the Vema Seamount Territory announced today that Mount Vema government bond coupons will no longer be paid in cash. Holders of all types of Mount Vema government bonds worldwide, including MV-Bills and MV-Notes, must open a bank account to avoid missing out on payments, especially bond payments due on June the 28th.
The new policy proposed in April and approved by the Vema Seamount Authority last week, was introduced to cope with the increasing demand for Mount Vema government bonds from private investors and the shortage of Mount Vema bank notes.
Financial services exchanging golles to other currencies are available in selected locations worldwide. However, Mount Vema bank notes in circulation are very limited therefore very difficult to find. Almost 98% of the currency supplied by the Central Bank of Mount Vema is electronic printed money, so demand for bank notes is very high.
We contacted people at the central bank for comments, and in a statement issued to VSBCnews, the Bank of Mount Vema said, “…it is not monetary policy to operate a 100% cash free economy. The issue is that the facilities to print bank notes are not yet available to the bank, so there will be a shortage of bank notes for some time”.
One of the problems with this new policy and the lack of bank notes, is that it affects private Mount Vema government bond holders in remote regions in foreign countries usually paid in golles which was then exchanged for local currency since government bonds have always been paid in golles.
Because the golle is becoming a rarer commodity and no one seems to want to get rid of it, banks are running out of bank notes. To minimize the problem, the treasury said that, those affected by the policy will be paid with Mount Vema travellers cheque as a temporary option which can be converted into local currency or other foreign exchange at the facilities provided by agents working with the RBMV Bank – The Royal Bank of Mount Vema in foreign countries and territories.
DIFC, the Department for International Financial Compensation was created to act independently from His Mount Vema Majesty’s Government to pay for compensation to people and individuals in their dealing with Mount Vema.
The department’s first responsibility is the payments of any liabilities personally incurred by Peter Goldishman - The Vema Seamount Authority, His Spouse – The Queen Consort of Mount Vema, and direct members of the Mount Vema Royal Family before the 25th of May 2018, in accordance with Article 16 of the Vema Seamount Declaration of Sovereignty.
As of May 25th 2018, the personal belongs of Peter Goldishman and His Spouse becomes property of the state – The Vema Seamount Territory, therefore all their personal liabilities becomes the liabilities of the territory.
DIFC services are free to customers of Mount Vema corporations worldwide and is mandatory, funded by state revenues. The compensation scheme covers bank deposits, insurance policies, insurance brokering, investments, mortgages and mortgage arrangement.
This means that DIFC is now responsible for the payment of compensations, to any individual, institution or nation who may have incurred losses after August 1st 2006, and before May 25th 2018. The responsibilities include payments of compensations when a Mount Vema firm is unable, or likely to be unable, to pay claims against it.
Protecting authorized Mount Vema financial institutions up to 100,000 golles (about $200,000 USD) in the event of their insolvency. Those owed money by Peter Goldishman - Vema Seamount or His Spouse in the course of their duties must claim compensation from January 1st 2019, and no later than January 1st 2026. Compensations will be made in foreign exchange as follows:
1. Financial losses through investment
Losses: up to $200,000 USD | Compensations: up to $400,000 USD
2. Financial losses through failed contracts
Losses: up to $100,000 USD | Compensations: up to $200,000 USD
3. Financial losses due to discontinued services
Losses: up to $50,000 USD | Compensations: up to $100,000 USD
If anything happens to a Mount Vema bank, or other financial institution, DIFC will automatically refund in golles or in foreign exchange, any deposit, savings, or investments, which will be refunded within 90 days for claims presented twelve months after the incident, or within 28 days for claims presented right after the incident.
Bank balances of up to the equivalent of $1,000,000 USD are now protected for up to six months. 100% of the first $100,000 per person per authorised firm (for claims against firms declared in default from May 25th 2018).
The Vema Seamount Authority has approved a request that authorizes W-Contractors to spend just over 500,000 golles in foreign exchange to pay for an Exploration vessel to be permanently stationed in Mount Vema before the rest of the construction fleet arrives.
More than five ships are expected to arrive later in the year and early next year including cruise ships to be used as floating hotels and floating hospital, supply vessels, work barges and other specialist vessels.
This late announcement is part of the government plan to accelerate funding to purchase ships for the territory, by applying to a new method of purchasing ships for Mount Vema Corporations. Thus, accelerating the availability of capital, so companies can finalize deals to purchase ships before the end of the year.
More funds will be available soon, after a consortium of Mount Vema companies and W-Contractors submit a bid tomorrow to secure enough capital to purchase a fleet of ships. The government aims to negotiate the required contracts in just two weeks, which is much faster than what usually takes months due to the complexity of the contracts. Expenditures for the next five years are expected to near 1 billion golles (about $2 billion USD) in total, significantly more than the original estimate last year.
W-Contractors has approached Cash Processing Solutions (CPS), a strategic partner of De La Rue, to provide an integrated range of hardware and software solution to the Bank of Mount Vema, including consultancy and support services to enable Mount Vema to maintain high-speed cash sorting and authentication systems.
The move was made today after the procurement company expressed its intention to work with De La Rue, the British banknote manufacturing company, that also specialises in security printing of passports, brand authentication and paper-making company with headquarters in the UK.
The services provided by Cash Processing Solutions and De La Rue will help facilitate internal cash-based trade, especially during construction and after to support the internal transactions of goods and services in cash.
Their services would be required as early as August 2018 and latest December 2018, as source from W-Contractors told VSBCnews. These latest contracts are creating new opportunities for many businesses to expand to the Mount Vema market. According to traders at the Gollexi who expect positive changes in the stock market.
His Mount Vema Majesty’s Government will apply to a new method of raising funds for purchasing of ships by Mount Vema Corporations. The government wants to accelerate the availability of capital, so companies can finalize deals to purchase ships before the end of the year.
A consortium of Mount Vema companies and W-Contractors will submit a bid on Friday to secure enough capital to purchase a fleet of ships. The government aims to negotiate the required contracts in just two weeks, which is much faster than normal. Such negotiations typically take months due to the complexity of the contracts.
Representatives of the Vema Seamount Authority responsible for budget are set to appropriate funds to purchase the required number of ships to stay on schedule. W-Contractors who already initiated procurement, will also be responsible for upgrades, according to documents obtained by VSBCnews.
Expenditures are expected to near 1 billion golles (about $2 billion) in total, significantly more than the original estimate last year. W-Contractors declined to comment. The Ministry for National Development and Land Maintenance acknowledged, however, that the timeline for the procurement is “ambitious.”
RBMV Bank customers can now withdraw money via their mobile phone using their PIN. The new system will allow customers to withdraw up to 300 golles in foreign exchange without putting their card into a machine.
Customers are now able to use their smart phone and input their pin on the ATM app which sends the money to the nearest agent or use code at the nearest ATM part of the RBMV Bank global network.
The RBMV Bank has also unveiled a prototype for a new type of ATM for its agents that does away with a lot of the features you would normally expect to see. It works more like a smartphone or tablet, with a touchscreen display.
The minimalist ATM reminds some of a smartphone, and eliminates the traditional magnetic stripe card reader, receipt printer and pin pad. The concept, according to the bank, meets the needs of its global customers.
The idea is that agents can hold cash in Mount Vema currency or foreign exchange, which is then dispensed as usual to conventional customers who use the mobile ATM. It cuts out the need for security vans to constantly fill cash-hungry machines, while helping the RBMV Bank save money by maintaining fewer or no bank branches.
RBMV Bank, the Royal Bank of Mount Vema has launched a 0% balance transfer card with an introductory interest-free credit card rate that lasts 24 months. Making its card stand out in the Mount Vema credit card market, as there is no fee on the transfer you balance from your existing card.
With City of Mount Vema project participants more willing to take risks as the economy grows, RBMV Bank boasts a wide range of market-leading credit card deals, not only one of today’s most generous all-round 0% credit cards, but with a lengthy interest-free period on both balance transfers and purchases.
Research by financial analysts at the Gollexi shows the number of interest-free balance transfer cards on the Mount Vema market has increased among suppliers, and service providers, and is expected to continue for the next five years.
The Bank of Mount Vema has indicated that so far, the economy can support this trend however, that the territory will not be able to sustain this level of debt beyond 2025, so the Bank will intervene when necessary to prevent borrowers from getting themselves in a spiral of debt as they embark on the path for grow with the Kingdom of Mount Vema.
The Kingdom of Mount Vema announced today that it is now policy not to charge income tax to people who will live and work in Mount Vema except for ISN contributions and VAT. The policy also applies to businesses when they operate within the jurisdiction of His Mount Vema Majesty’s realm.
The decision was made yesterday, followed by the official statement from the Royal Mount Vema Department of Finance, to clarify on any misconception, that the Kingdom of Mount Vema will be an offshore tax haven. His Mount Vema Majesty’s government runs the territory in accordance with internationally recognised principles of good governance. The statement said.
The Kingdom will not be a tax-free territory, because all residents will pay tax in the form of VAT on all goods and services plus ISN contributions. Furthermore, corporations will face a tax on profits – unless they can demonstrate that three-quarters of company turnover is generated within the confines of His Mount Vema Majesty’s realm.
In addition, the statement reads that, unlike those jurisdictions labelled offshore tax havens, Mount Vema will not offer "offshore financial services", nor will the territory permit or facilitate the registration of offshore corporations looking to operate in such a way as to avoid paying tax in other jurisdictions.
The Kingdom of Mount Vema, according to the statement, manages to balance its books without any plans for heavy tax burdens on people who will be living and working in the island. The absence of income tax will not entail an absence of social conscience, and so the state revenue, will be able to fund an excellent health service, an efficient education system, a good public transport network and comprehensive social services.
RBMV Bank, the Royal Bank of Mount Vema has unveiled its new digital banking service powered by the Mount Vema Central Bank, set to challenge the traditional Mount Vema banking services transforming the way customers manage their money.
The service brings together the best in digital platform, with customer driven design and the support of the Bank of Mount Vema to deliver a service that lets customers take control of their finances no matter where they are.
Its launch follows extensive research over three years to meet the needs of the City of Mount Vema, its institutions, subcontractors and their employees, who needed a banking service that is simple, intuitive and designed to make managing money as easy as possible to carry out on the move.
The new service offers a range of interactive tools designed to give users control of their money on their terms; taking the fear out of finance, enhancing their lives without compromising their lifestyle.
After years of searching for the best way to provide the Kingdom of Mount Vema with a banking system that works with its currency, RBMV Bank said in a statement that, it is proud to introduce the new service, that is different, more intuitive and that will help its customers run their lives, will be the right tool to help the economy of Mount Vema going forward.
Mount Vema plans to drop dollar peg was confirmed today after two years since the government first announced the decision and reassured the market that the Kingdom of Mount Vema is not cutting ties with the US currency.
The decision to unpeg the golle is part of a plan to track a basket of currencies, according to the Central Bank of Mount Vema who said in a statement that the cap, introduced in 2006, is no longer justified. As of tomorrow, all commodities within the Mount Vema market, will be priced in golles.
The state of the economy of Mount Vema for the next three decades is very good and it is likely to continue for some time. Said the Mount Vema Central Bank who kept interest rate unchanged at 3.45%, maintaining the amount investors pay to hold deposits in golles. The Central Bank said, the economy will continue to be stable and predictable, to entice current investment, without the need to keep changing currency policy from one day to the next.
GolleCard announced today that it will reopen its payment services on Monday to provide Mount Vema financial institutions with GolleCard-branded payment products that can be used to offer credit to their customers when dealing with the Kingdom of Mount Vema.
GolleCard stopped offering credit card services almost six years ago when His Mount Vema Majesty’s Government and the Central Bank of the Kingdom of Mount Vema decided to restructure the Mount Vema financial system to improve its independent Global settlement of payment services in golles.
The company was granted a new license last week and is ready to reopen for business and to reclaim its place as the leading processor of payments between the banks of merchants and the card issuing banks of the Kingdom of Mount Vema.
If you can handle a fast-paced and challenging financial environment, using your excellent communication, negotiation and analytical skills, working as a stockbroker at the Mount Vema Stock Exchange may be the career for you.
Companies at the Mount Vema Stock Exchange are looking for stockbrokers, to support individuals and institutions (clients) to make informed decisions on investing in the right stocks at the right time.
Depending on experience, but some companies are willing to pay from ₲20,000 golles per year for newly graduates, and up to ₲100,000 per year for the most experienced. All salaries come with a commission between 15% to 20%, and performance bonus.
Details about the vacancy was posted today at the Mount Vema Job Market.
The Government announced today that it is introducing tax friendly policies to pay for its complex network of systems provided by technology companies that keep the key services of government working.
There are more than 25 tech companies that somehow directly or indirectly provide services to His Mount Vema Majesty’s government, costing the territory thousands of US dollars per year and the cost is likely to increase year on year as the society grows.
The services provided by the tech companies are vital now and will be in the future, facilitating news reports, maritime information, real time weather updates, banking which is vital to pay for goods and services, and so much more that some of those companies never get credit for the work they do.
As of this May 2017, fees and taxation will apply to all financial transactions within the Kingdom of Mount Vema financial system to enable the government to maintain the public services to the highest standards and keep up with new technology and security, and most important user experience when using services provided by Mount Vema.
Both corporate and personal income tax rate will start from 3% and will go up to 10% for those working on City of Mount Vema Projects, and as migrant workers get ready to set sail, the government has reassured sub-contractors again today that all will be done to make the territory a safe place to live and to do business.
HSBC, Santander, and Barclaycard identity verification service provider is ready to work with Mount Vema
GBG, the company that provides identity verification services to some leading companies such as HSBC, Santander, Barclaycard, Harrods, TransferWise, O2, amazon.com, Nike and among many others, will work with Mount Vema to verify the identity of its customers when traveling to Mount Vema or applying for services.
The news comes after the government announced early this year that the Kingdom of Mount Vema will be introducing a new identity verification service to ensure that people travelling to Mount Vema for work and service providers, provide information that is associated with the identity of a real person.
The new service will verify the authenticity of physical identity documents such as a passport or travel document, and will identity information against authoritative sources such as a credit bureau or government data, called non-documentary verification.
Businesses and entities that form part of the Kingdom of Mount Vema will also be able to use the service to ensure that users or customers provide information that is associated with their real identity, required to establish bank accounts, other financial accounts, and stop illegal activities like scams, and money laundering.
The service will also be used both online and in person to verify identity especially when boarding a vessel to Mount Vema, as travelers are encouraged to confirm for the Online Check-in process before leaving home to the island. People who wait to check in at the terminal risk being unable to sail even if they arrive at the terminal before the vessel leaves.
Mount Vema government security regulations require passenger vessels to submit certain guest information to law enforcement authorities at least 60 minutes prior to departure. To meet this requirement, it is necessary that the vessel has the information in its records and verified at least 90 minutes before departure. If a passenger does not have his or her information by this deadline, he or she will be unable to sail.
The new service will make it easier for the Kingdom of Mount Vema to verify the identity of almost anyone at any-time, anywhere in the world and tackle the growing problems of identity fraud and money laundering. Service providers will be able to check their customers are who they say they are with reference using a data for more than 5 billion people around the world.
Mount Vema representatives in Europe were informed by one of its payments service provider Stripe, that it will be processing SEPA Direct Debit, a popular European banking payment method for Mount Vema.
The news was welcomed by the community in Europe as it will give more payment options for community members and customers who prefer an alternative form of payments rather than just credit or debit cards.
Before payment is processed, the customer must accept the SEPA Direct Debit mandate, and their acceptance authorizes Mount Vema and Stripe the payment service provider to collect payments for the specified amount from their bank account using SEPA Direct Debit.
Because bank account information is sensitive by nature. When bank details are collected, a secure platform provide by the service provider prevents customer’s bank account information from touching the server and reduces the amount of sensitive data that needs to be handled securely.
Most Mount Vema customers in Europe have welcomed the news, because SEPA Direct Debit payments are not immediately guaranteed. A charge created from a SEPA Direct Debit source can remain in a pending state for up to 14 business days, so they have enough time to think about any financial decision.
Although some people have welcomed the news, others like service providers working with Mount Vema and others already using SEPA Direct Debit, say they prefer not to fulfill orders until the charge has been received, which is not really good for business but Mount Vema is just happy that its loyal customers will have more payment options.
Although the Kingdom of Mount Vema will have a lower tax rate in comparison to some countries, the island will not be completely tax free. Now thanks to a new App to be introduced next week that will also be used in Mount Vema, tax collection and the system of credit and rewarding responsible customers will be made much easier to manage.
The new app, is likely to make a big difference when it comes to public and private finance management is Mount Vema and beyond.
The App and its features were approved by the Mount Vema Central Bank and His Mount Vema Majesty’s Reserve Bank today, giving greenlight for Mount Vema companies and City of Mount Vema project participants to adopt the system to maintain the highest standards of financial management and to keep the Kingdom of Mount Vema free from money laundering.
Customers will only need to own an iPhone which are now available again at Mount Vema stores, and are likely to be big business in Mount Vema and among project participants abroad as everyone is likely to own one to make payments using their mobile app.
The app will also help the Central Bank to monitor consumer spending and better manage inflation. For those who are not tech-savvy cell phone users, banks will be providing physical cards that are compatible with the system. Card holders will be able to track their spending, balance, and benefits.
The government, private employers and people travelling to Mount Vema, will be able to set accounts and load it with foreign exchange for credits to be used in Mount Vema. That way the government expects the island to be completely cash free and will reserve the printing of physical cash only for collectors of bank notes and especially commemorative bills.
Law of the Sea Treaty (United Nations Convention on the Law of the Sea)
MARPOL 73/78 (International Convention for the Prevention of Pollution from Ships)
The Vienna Convention on Diplomatic Relations of 1961
The Vienna Convention on Consular Relations 1963
The Right to Self-Determination
Many believe because our community is not a member of the United Nations and is only just over a decade old, doing business with the Kingdom of Mount Vema is not possible for foreign nationals and foreign companies seeking to take advantage of the business opportunities the floating city project is creating. Nothing could be further from the truth. The territory doesn't need a United Nations membership to function as a sovereign territory, or to exercise its inalienable right for self-determination