India's laws ample for sharing banking info: Swiss govt

In a notification and fact sheet published in its official gazette for introduction of “automatic exchange of information relating to financial accounts with India”, the Swiss government also cited decisions by other financial centres like Liechtenstein and Bahamas to enter into similar pacts.

Besides, Switzerland also took note of the US tax authority, the Internal Revenue Service (IRS), recognising India among the countries that provide an “adequate degree” of data protection for mutual exchange of tax information.

The fact sheet and the notification, published in German, also talks about Switzerland looking to explore greater access to Indian market, including the reinsurance sector and other financial services.

The Swiss Federal Council, the top governing body of the European nation, in June ratified automatic exchange of financial account information with India and 40 other jurisdictions to facilitate immediate sharing of details about suspected black money even as it sought strict adherence to confidentiality and data security.

Taking the decision forward, the Swiss government has now notified the decision and the notification authorises the Council to notify India about the exact date when such automatic exchange must take place.

The implementation is currently planned for 2018 and the first set of data should be exchanged in 2019. The decision is not subject to any referendum — which means there should be no further procedural delay in its implementation.