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Fifth Protocol to the General Agreement on Trade in Services (Financial Services Agreement)

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Chapter Summary

The Fifth Protocol to the General Agreement on Trade in Services, under General Agreement on Trade in Services (GATS), was a new agreement reached in 1997 under the auspices of the World Trade Organisation (WTO). It entered into force on 1 March 1999 and is more commonly known as the Financial Services Agreement". More than two-thirds of WTO Members have made commitments in the financial services sector. The core of the financial services sector consists of direct insurance (both life and non-life) for the insurance subsector and of acceptance of deposits and lending as well as securities-related services, such as stock brokerage, for the banking and other financial services subsectors. The first three modes of service supply under Art. I:2 are far more significant.

Keywords: Fifth Protocol; financial services sector; GATS

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