The Malta Financial
Services Authority
STATUS, ROLE and STRUCTURE
April 2012
(www.mfsa.com.mt)
David Fabri LL.D.
Director
Legal and International Relations Unit
Role of Regulator
a)
to licence and ensure high standards
b)
to ensure compliance with the rules
c)
d)
e)
to carry out on-site
compliance visits
and
off-site
to investigate allegations of wrong-doing
to take administrative or other action as
appropriate
David Fabri LL.D.
Malta Financial Services Authority
Statement of Functions in the law:
o to regulate financial services in Malta
o to promote consumer protection
o to promote fair competition and consumer
choice
o to investigate allegations of malpractices
o to ensure high standards of conduct in the
sector
David Fabri LL.D.
Malta Financial Services Authority
o
Single consolidated regulator for banking
for insurance
for securities
o
o
o
Single point of entry and single point of reference for
licensing, reporting, etc
Single
point
internationally
of
reference
domestically
Also incorporates the Registry of Companies
David Fabri LL.D.
and
Malta Financial Services Authority
Since 1997 it is also responsible for
the Registry of Companies, where
companies are registered and where
company details are kept
Registrar of Companies is a Director
of the MFSA
David Fabri LL.D.
Malta Financial Services Authority
Internal
Public
Structure
Corporation
Single
Regulator
for all
financial
services
International
Dimension
Consumer
Registry
of
Companies
Agency
David Fabri LL.D.
FROM OFFSHORE TO ONSHORE
1989 - 2011
MIBA and MFSC in a changing world
MIBA
24 employees
MFSC
MFSA
160 employees
David Fabri LL.D.
THE MFSA
AND OTHER REGULATORS
A single regulator among several single
unified regulators in other countries
UK
GERMANY
DENMARK
IRELAND
POLAND
ESTONIA
SWITZERLAND
MAURITIUS
SWEDEN
Most are separate from the national banks, but not all.
David Fabri LL.D.
Single Regulatory Agency
National Bank as Single Authority :
Singapore
Czech Republic
David Fabri LL.D.
Slovakia
Other Regulators
Twin Peaks :
Australia and the Netherlands
Has once more become fashionable
Three Regulators :
Italy, USA, China, Greece, Cyprus
David Fabri LL.D.
A PUBLIC CORPORATION
The MFSA as a public
corporation set up by
MALTA
COMMUNICATIONS
AUTHORITY
MALTA
STANDARDS
AUTHORITY
special law - other
BROADCASTING
AUTHORITY
public corporations and
consolidations in other
sectors
MALTA
TOURISM
AUTHORITY
David Fabri LL.D.
TRANSPORT
MALTA
MFSA –
ORGANIZING A PUBLIC AUTHORITY
Any public authority should be
properly organized to ensure
cohesion, efficiency and
accountability
David Fabri LL.D.
THE
MFSA
STRUCTURE
BOARD OF
GOVERNORS
BOARD
SECRETARY
LEGAL &
INTERNATIONAL
RELATIONS UNIT
CO-ORDINATION
COMMITTEE
SECRETARY
UNITS
SUPERVISORY COUNCIL
BOARD OF
MANAGEMENT AND
RESOURCES
Consumer Complaints
Manager
David Fabri LL.D.
●Banking Supervision
●Securities
&
Markets
Supervision
●Insurance
&
Pensions
Supervision
● Authorization
●Regulatory Development
THE MFSA IN A CONSUMER CONTEXT
The MFSA as a
consumer protection
agency responding to a new
context of consumer
and competition
legislation
David Fabri LL.D.
THE MFSA
Consumer Complaints Function
●
●
●
New post of Consumer Complaints Manager in 2002
Compliments new statutory consumer protection function
assigned to MFSA
An office dedicated to receiving consumer complaints and
consumer education
●
Has powers to investigate, report and recommend action,
but has no enforcement, executive or judicial powers
David Fabri LL.D.
THE MFSA AND
THE INTERNATIONAL DIMENSION
an increasingly
important aspect of
financial services
regulation
David Fabri LL.D.
International Dimension
WTO
European Union
Maltese
Law and
Structures
David Fabri LL.D.
MFSA - the international dimension
IMF World Bank
European
Union
World Trade
Organization
MFSA
Memoranda
of Understanding
(MoUs)
OECD
IAIS
UN Security
Council
Sanctions
IOSCO
David Fabri LL.D.