Strengthening the MFSA and preparing for the next generation of financial services
The MFSA’s Strategic Plan for 2019-2021 has been published today. With this Plan the MFSA is providing a roadmap which defines the specific programmes and actions which it will be taking to achieve its objectives. It also cements its commitment towards addressing key priority areas which will enable it to achieve its ambitious Vision by 2021. The actions identified in this Plan will provide a more agile, safe, dynamic and efficient environment to the benefit of consumers and regulated firms.
WHY a Strategic Plan?
This Plan has
been developed with due consideration to the new realities of the financial
services industry, including the risks and challenges brought around by
technology and innovation.
The specific action points were built around the extensive feedback provided by the public as stakeholders. In fact, Joseph Cuschieri, MFSA CEO, commented, “I would like to take this opportunity to thank all those who filled in our market survey last March. We appreciated your honest feedback, as this gave us a clearer indication on the areas where we need to improve or do things differently. The results we’re sharing below have formed the basis of our action plan and proposed initiatives:
88% are generally satisfied with the guidance and feedback provided by the Authority during the authorisation process.
58% are satisfied with the timeliness at which applications are processed.
68% believe that the MFSA is effectively fulfilling its statutory objectives.
71% noted that the MFSA does not currently have sufficient personnel to carry out its mandate.
36% of licence holders are satisfied with MFSA’s openness to feedback, the extent to which firms are involved in the consultation process, and the weight given to feedback received.
“In formulating our Strategic Plan, we have also taken on board recommendations by international institutions and standard-setters, including the International Monetary Fund, MONEYVAL, the European Central Bank, the European Banking Authority and the European Commission, as well as credit rating agencies.”
HOW are we taking action?
We have divided our action points in two main sections: Sector-specific priorities: here we consider the wide array of entities regulated by the MFSA. Through these priorities we highlight our supervisory plans for each sector and other measures which cater for the challenges and regulatory developments pertaining to each.
Cross-sector priorities: these constitute the main pillars of the MFSA’s strategic framework and are aimed at embracing innovation and technology, as well as improving the efficiency and efficacy of the Authority’s core functions. Here we take a deeper look at how we plan to strengthen the governance and conduct of supervised entities, as well as our commitment to significantly improve our fight against money laundering and safeguard the stability of the financial market.
We are also investing heavily in bringing people on board, complementing this with a significant technological investment. This will allow us to service the industry better, be more present on the ground, and be more self-sufficient. We will also dedicate more effort towards issuing guidance to regulated firms and share our expectations on their own conduct, to build a stronger compliance culture.
We invite you to leaf through our Strategic Plan and find out how we are using your feedback to address our challenges and become a more efficient regulator with a top-tier status.
Read the MFSA’s Strategic Plan in full here