Monaco has been described by some as a ‘a sunny place for shady people’. Small tax havens like this sun-drenched principality often double up as offshore banking centres because of their relaxed regulatory environment, low taxes and ability to attract wealthy clients.
But the true risks of offshore banking are becoming clear as the world digests the failure of Credit Suisse. From the Cayman Islands to Singapore and Hong Kong, the essential problem is the same: small populations with big financial liabilities.
