The Malta Financial Services Authority (MFSA) has published its Financial Report and Annual Statements for the year ending 31 December 2018. The report provides the reader with details about the activities carried out by the MFSA and the Authority’s vision for the coming years.
Key takeaways about the financial sector in Malta
- The local financial services sector kept on growing, with a 9.5% increase over the previous year, and the registration of 144 new companies;
- There are currently over 2,300 entities registered with the MFSA;
- The financial services’ sector (together with its ancillary services) is one of the most relevant contributors to the Maltese economy as it contributes 11.6% of Gross Value Added (GVA);
- The total number of human resources employed in 2018 amounted to over 12,000 people, with 1,000 new jobs created last year;
- Total assets of Securities and investment services sector in Malta grew by 8.3%, amounting to €11.7 billion in 2018;
- Corporate bonds trading reached €93.7 million in 2018, up 22.5% from 2017;
- The aggregate net asset value of Funds Domiciled in Malta amounted to €11.7 billion, up 8% from 2017;
- Locally managed assets of non-Malta domiciled funds grew by 9.1%, amounting to Eur24 billion;
- The number of retirement pension schemes grew by 11.5%, with a total of €5.35 billion in assets.
An overview of the MFSA’s main activities in 2018
- Coming into force of the Virtual Financial Assets (VFA) Act in November 2018;
- Strengthening of the collaboration with the International Monetary Fund (IMF) on a Financial Stability Assessment Programme (FSAP) on Malta;
- Signing of a Memorandum of Understanding (MoU) with the Financial Intelligence Analysis Unit (FIAU) aimed at enhancing collaboration in anti-money laundering and financing of terrorism (AML/CFT) inspections and investigations;
- Provision of guidance to the financial sector with the publication of consultation documents on Initial Coin Offerings, Virtual Currencies, the Retirement Pensions Act and Investor Protection;
- Demerging the Registry of Companies from the MFSA, thus allowing the Authority to focus on its regulatory role and duties.
The Authority was particularly proactive in the fight against money laundering and financing of terrorism, with the scope of safeguarding Malta as a jurisdiction of choice for financial services.