GUERNSEY’S economy is robust despite the knock-on effect the credit crunch is having on individuals.

Credit Suisse Asset Management vice-chairman Robert Parker (pictured) said the island has a healthy economy thanks to the stringent regulation of the Guernsey Financial Service Commission, its tourist industry and its international tax competitiveness.

He said Guernsey would feel the effects in both positive and negative ways. ‘The positive effect on Guernsey is sterling has devalued by about 20% against the euro in the last six months. That clearly has a positive effect for the tourism industry because it is now a place to visit.

‘The financial services in Guernsey focus on wealth management, trust, financial planning and private banking and therefore problems in the banking industry in the USA don’t touch Guernsey because the area of success and growth in finance is wealth management, trust, financial planning and private banking.’