In the World Trade Organization's Annex on Financial Services, Member countries committed to allowing each other's financial services providers varying degrees of access to their markets.

Because the Internet opens the door for online financial services, there are questions as to what commitments apply -- depending on whether the service is considered to cross the border due to an act by the seller ("cross-border supply"), or due to a reaching out by the buyer ("consumption abroad").

Meanwhile, there are questions as to which jurisdiction should properly exercise regulatory oversight for online financial services. As described in the WTO's Introductory Regulatory Initiatives in Services (1999):

"...Major international efforts have been made by the relevant international organizations to improve regulatory and supervisory standards across countries. Numerous bilateral agreements and MOUs (Memorandums of Understanding) for the exchange of supervisory information and cooperation between national supervisory authorities have been made in this area. International efforts to prevent money laundering have also made large progress in recent years.

"The structure of regulatory and supervisory authorities at the international level is also being reviewed..."

Financial services are fundamental to the smooth functioning of any economy. As the electronic era spurs e-commerce, the need for efficient financial services increases. Government ministries responsible for commerce press for open access.

Meanwhile, in light of the challenges posed by non-traditional financial players, government agencies responsible for prudential standards may call for a more reserved approach.