Annual Report 2022

Driving the industry forward while operating at high standards to protect the end consumer and enhance investor confidence.

2022 in Numbers

€1.178 billion

In Gross Value Added generated by

Malta’s financial services sector

1 in 16

People employed within
the sector


Licence applications



Due diligence checks with 14% of

applications classified as high-risk


Supervisory interactions, 84% of which had

an AML/CFT element


Hours of training for MFSA employees,

2,000 of which focused on AML/CFT


CSPs fully



Enforcement cases



Outreach initiatives including circulars,

events and consultations

Looking Ahead: Our 5 Strategic Pillars

The changing needs of the industry call for the MFSA to be both flexible and nimble. Our Strategic Statement published in February 2023 focuses on 5 key objectives, which we commit to reaching in the next three years, through a set of defined milestones.

We will continue investing in capacity building, focusing on two critical elements – our people and digital systems.

As we commit to reducing bureaucracy by providing a better overall customer experience, especially in authorisation, we will also place transparency, risk awareness and two-way communication at the centre of our push for improving standards.

We are also set on strengthening our financial and operational independence through further efficiency gains and proposing changes to the funding structure of our institution.

Our expectations in terms of fair treatment, distribution of products and service delivery to consumers will be made clear.

We also believe that coordination with other regulatory and enforcement agencies is key to fulfilling our remit effectively.

We are committed to developing informed, early-stage positions on policy and align our positions through building further relationships with other local and foreign institutions. This will help us be consistent in our supervisory approach.

By engaging with our counterparts, we aim to address gaps or overlaps in regulation and eliminate duplication in data-reporting.

Crisis preparedness is also on our radar as we plan to improve our own internal structures and the framework at national level, particularly for insolvency for banks.

Strengthening our safeguards against criminal abuse of the financial system remains a priority as we work with law enforcement agencies to implement the EU strategy for anti- money laundering.

A strong compliance culture contributes to the successful attainment of our responsibilities as a regulator, as it places consumer interests at its core, preserves market confidence, and maintains stability in the financial system.

The financial industry is also expected to be a beacon of good corporate governance.

Through our guidance programmes we will ensure that authorised entities and individuals not only aim for the highest standards of business conduct, but also have a platform through which they can channel their feedback on all regulatory matters.

As we recognise the need to have trust in new technologies and emerging business models used by financial service providers, we will work closely with other regulators to keep Fintech and BigTech developments under review.

We will also ensure that we leverage on our strengths and competences for Malta to become the leading jurisdiction in the transposition and absorption of the EU Digital Finance Package.

Sustainable finance is another global development which will highly impact financial services legislation. As we seek to develop our expertise to meet the new supervisory responsibilities that it brings with it, we will seek to adopt a best practice approach in line with national goals.

Our outreach initiatives also entail providing consumers with the right tools for them to be able to make informed decisions about their personal finances.

Through our educational campaigns and day-to-day handling of consumer queries, we will continue to explain the different types of products available on the market, and the risks involved.  We also remind consumers of their rights and responsibilities.

As the single regulator of financial services, we recognise the importance of collaborating with educational institutions and training bodies, to attract new talent, for the financial sector to thrive.

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