New committees for dealing with risk management and financial compliance, will be part of the MFSA’s new operating structure, the financial authority has said. It is understood that the risk and financial compliance (AML) committees will help in bolstering these two areas of the authority’s remit. MFSA’s outlining of restructuring come after the International Monetary Fund yesterday published its report into the health and capability of the Maltese financial system.
In their report, IMF points to issues over the capacity of MFSA to properly supervise and oversee the activities of Maltese banks. MFSA says that it has welcomed the recommendations put forward by the IMF and that they feed into the outlined transformation of the MFSA’s Vision 2021.
MFSA says that the implementation remains a ‘work in progress’ while the ‘required legislative and parliamentary process’ is carried out. In addition to new committees, the financial authority also outlines the formation of a Executive Committee which is expected to take up the responsibilities of the Co-Ordination Committee, Supervisory Council and Board of Management and Resources. ‘The Executive Committee shall be responsible for all the corporate, operational and supervisory functions of the Authority.’, they explain.