MFSA: Supervisory Priorities for 2023

MFSA: Supervisory Priorities for 2023

The Malta Financial Services Authority (MFSA) has announced its Supervisory Priorities for 2023, highlighting its top priorities for the coming year.

The Authority's focus is on aligning its regulatory activities with its overall mission, vision, and strategy to become a more resilient and efficient jurisdiction. The MFSA has identified three ongoing Supervisory Priorities, which are deemed critical in the context of its day-to-day processes, including: 

  • Governance, Risk & Compliance 
  • Financial Crime Compliance, and
  • Consumer Protection & Education. 


These priorities will continue to be emphasised in 2023. 


Cross-sectorial priorities

In addition, the Authority has identified three high-level priorities that are cross-sectoral and require collaboration from each of the MFSA's nine supervisory functions. These priorities are the Resilience of Supervised Entities, Digital Finance, and Sustainable Finance


To achieve these objectives, the MFSA uses a risk-based approach to supervision and has a range of regulatory and supervisory tools available to address identified risks. These tools include inspections, meetings, supervisory and thematic reviews, and mystery shopping. The Authority's supervisory practices are aligned with those of other competent authorities at European level, ensuring the mutual trust between financial supervisors. 


Overall, the MFSA's Supervisory Priorities for 2023 are aligned with its strategic statement and aim to achieve its broader vision by providing more detailed and granular actions. By carefully considering the market environment, regulatory developments, international standard setters' recommendations, and its own regulatory and supervisory experience, the MFSA aims to ensure that it remains an effective and trustworthy regulator of financial services in Malta. 


How can BDO help? 

As a professional services firm with expertise in the financial services industry, we can assist companies operating in Malta to navigate the regulatory landscape set out by the Malta Financial Services Authority (MFSA). Our team of experts can provide guidance and support to companies looking to enhance their compliance framework and improve their risk management practices. Overall, we can help regulated companies operating in Malta to achieve their business objectives while ensuring compliance with the MFSA's regulatory requirements. 


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