Banking Supervision
The Malta Financial Services Authority is responsible for the authorisation and supervision of:
- Credit institutions authorised under the Banking Act (Chapter 371 of the Laws of Malta),
- Credit intermediaries admitted under the Credit Agreements for Consumers relating to Residential Immovable Property Regulations (S.L. 378.10), and
- Credit servicers authorised under the Credit Servicers and Credit Purchasers Act (Chapter 645 of the Laws of Malta).
The applicable Acts, Subsidiary legislations and any Rules issued by the Authority thereunder outline the supervisory framework in which such entities are obliged to operate and provide for the requirements that these entities shall follow.
Conduct Banking
Conduct supervision of the banking sector regulates, oversees and sanctions the conduct of supervised institutions offering retail banking products and services, based on the existing legal requirements in Malta and also the impositions arising from the European Union’s Directives and Regulations and respective requirements. It aims to ensure:
- compliance with integrity, suitability and competence criteria by the institutions supervised and their staff;
- verification of the rules applying to the offering of banking products and services;
- disclosure of clear, comprehensive and up-to-date information about the banking products and services offered, before and while the contracts are in force.
This supervision is carried out both through on-site and off-site inspections, which results and respective required action to be taken by credit institutions are after communicated to the latter. In those cases where thematic reviews take place, besides the communication to credit institutions in a one to one basis, the Authority also establishes best practices, through Circulars addressed to the respective institutions, and which the latter must follow in their interaction with their customers.
Credit Institutions
Credit Intermediaries
Credit Servicers
Credit Institutions
- Legislation
- Rules
- Conduct Rules
- Application Forms
- Supervisory Disclosures
- Supervisory Reporting
- Newsroom
- Conduct-Related Data Reporting Requirements
- Information Point
The Capital Requirements Regulation (‘CRR’) and the Capital Requirements Directive (‘CRDIV’) were initially published on 27 June 2013. Several amendments have been carried out during the years. The main amendments were affected by the CRRII and the CRDV on 7 June 2019 (‘New CRD Package’).
The New CRD Package sets out an enhanced legal framework for the prudential regulation and supervision of credit institutions as regards exempted entities, financial holding companies, mixed financial holding companies, remuneration, supervisory measures, powers and capital conservation measures, the leverage ratio, the net stable funding ratio, requirements for own funds and eligible liabilities, counterparty credit risk, market risk, exposures to central counterparties, exposures to collective investment undertakings, large exposures and reporting and disclosure requirements.
Member States are required to adopt and publish the laws, regulations and administrative provisions necessary in order to comply with the CRDV. In this respect, the main national legislation, including the Banking Act (Chapter 371 of the Laws of Malta), is in the process of being amended to reflect changes arising from the transposition of CRDV. Furthermore, other subsidiary legislation and Banking Rules issued under the Banking Act will also be amended to reflect the new amendments.
Notwithstanding the above, credit institutions shall refer to the provisions in CRDV which shall apply until such time local legislation transposing the latter comes into force.
Subsidiary Legislation
S.L. 371.04 – Representative Offices (Requirements and Activities) Regulations
S.L. 371.05 – Administrative Penalties, Measures, and Investigatory Powers Regulations
S.L. 371.06 – Fees payable on the Filing of Judicial Acts in connection with Appeals Regulations
S.L. 371.07 – Declaration of Bank Holidays Order
S.L. 371.10 – Credit Institutions (Fees) Regulations
L.N. 364 of 2024 – Credit Institutions (Fees) (Amendment) Regulations, 2024
S.L. 371.11 – European Passport Rights for Credit Institutions Regulations
L.N. 365 of 2024 – European Passport Rights for Credit Institutions (Amendment) Regulations, 2024
S.L. 371.12 – Credit Institutions (Reorganisation and Winding-up) Regulations
S.L. 371.14 – Banking Act (Access to Emissions Allowance Auction) Regulations
S.L. 371.15 – Supervisory Consolidation Regulations
S.L. 371.16 – Banking Act (Supervisory Review) Regulations
S.L. 371.17 – CRR (Implementing and Transitional Provisions) Regulations
L.N. 132 of 2022 – CRR (Implementing and Transitional Provisions) (Amendment) Regulations, 2022
S.L. 371.18 – Credit Institutions and Financial Institutions (Payment Accounts) Regulations
User Guidelines – L.N. 135 of 2022
S.L. 371.20 – Markets in Financial Instrument Regulations
S.L. 371.21 – Equity Release Financial Products Regulations
S.L. 371.22 – Supervisory Consolidation (Credit Institutions) Regulations
Related Legislation
Central Bank of Malta Act (Chapter 204)
Malta Financial Services Authority Act (Chapter 330)
Financial Conglomerates Regulations (S.L. 330.06)
Distance Selling (Retail Financial Services) Regulations (S.L. 330.07)
Recovery and Resolution Regulations (S.L. 330.09)
Prevention of Money Laundering (Chapter 373)
Financial Institutions Act (Chapter 376)
Professional Secrecy Act (Chapter 377)
Consumer Affairs Act (Chapter 378)
Controlled Companies (Procedure for Liquidation) Act (Chapter 383)
Set-Off and Netting on Insolvency Act (Chapter 459)
Financial Collateral Arrangements Regulations (S.L. 459.01)
Conduct Legislation
In this section you will find the Acts of Parliament which lays down the framework of the regulatory regime applicable to banking and additional subsidiary legislations relating to the supervision of banking.
S.L. 378.10 Credit Agreements for Consumers relating to residential immovable property regulations
S.L. 378.12 Consumer Credit Regulations
S.L. 371.18 Credit Institutions and Financial Institutions (Payment Accounts) Regulations
L.N. 193 of 2019 – Equity Release Financial Products Regulations, 2019
Final List of the most representative services linked to a payment account
European Union – Template – Fee Information Document
European Union – Template – Statement of Fees
Equity Release Financial Products Rulebook
Equity Release Financial Products Regulations, 2019 – Application Forms
In terms of Article 4(6) of the Banking Act (Chapter 371 of the Laws of Malta), the MFSA is empowered to issue, amend or revoke Banking Rules as may be required to carry into effect the provisions of the Banking Act and any regulations made thereunder. The MFSA may also publish Banking Rules to transpose, implement and give effect to the provisions and requirements of Directives, including primarily the CRD, Regulations and other legislative instruments of the European Union which require transposition or implementation.
Furthermore, the Banking Act provides the Authority with the power to issue, amend or revoke Banking Rules in order to implement any guidelines, recommendations, decisions, opinions or other instruments issued by European bodies such as the European Banking Authority (‘EBA’), the European Central Bank (‘ECB’), as may be required. The MFSA may also issue, amend or revoke Banking Rules to provide for any other relevant matter as may be specified in the Banking Act, or as it may deem necessary from time to time.
All Banking Rules issued by the MFSA are binding on licence holders and others as may specified therein, in accordance with Article 4(9) of the Banking Act.
Rules
BR/01/2023 – Application Procedures and Requirements for Authorisation of Licences for Banking Activities under the Banking Act 1994
BR/02/2023 – Large Exposures for Credit Institutions Authorised under the Banking Act 1994
Large Exposures for Credit Institutions Authorised Under the Banking Act 1994
BR/03/2012 – Own Funds of Credit Institutions Authorised Under the Banking Act 1994
BR/04/2013 – Capital Requirements Of Credit Institutions Authorised Under the Banking Act 1994
BR/05/2007 – Liquidity Requirements of Credit Institutions Authorised Under the Banking Act 1994
Liquidity Requirements of Credit Institutions authorised under the Banking Act 1994
Annex 2 – Liquidity Maturity Ladder
Annex 3 & 4 – Liquidity Ratio – Deposit Liabilities
Annex 5- Liquid-Asset Requirement
Annex 6 – Declaration Form to be used in filing Annexes 2 and 5 of the Rule
BR/06/2007 – Statutory Financial Information To be Submitted By Credit Institutions Authorised Under the Banking Act 1994
Instructions to the Schedule Appendices 1 – 11
BR/07/2024 – Publication of Annual Report & Audited Financial Statements of Credit Institutions Authorised Under The Banking Act 1994
BR/08/2012 – Capital Adequacy Of Credit Institutions Authorised Under the Banking Act 1994
BR/09/2023 – Measures Addressing Non-Performing Exposures and Forborne Exposures
Measures Addressing Non-Performing Exposures and Forborne Exposures
BR/10/2013 – Supervision On A Consolidated Basis of Credit Institutions Authorised Under The Banking Act 1994
BR/11/2007 – Extension Of The Applicability Of The ‘Arm’s Length’ Principle By Credit Institutions Authorised Under The Banking Act 1994
BR/12/2022 – The Supervisory Review Process Of Credit Institutions Authorised Under The Banking Act 1994
The Supervisory Review Process of Credit Institutions authorised under the Banking Act 1994
Appendix 1 – Principles on Internal Governance
Appendix 2 – Internal Capital Adequacy Assessment Process (ICAAP) – General Framework
- Annex 2A – ICAAP Report – Recommended Structure
- Annex 2B – Technical Criteria on Organisation & Treatment of Risks
- Annex 2C – List of Definitions
- Annex 2D – Principles on Stress Testing
- Annex 2E – Remuneration Principles: Policy, Committee and Elements
- Annex 2F – Principles for the Management of Interest Rate Risk in the Banking Book (IRRBB)
- Annex 2G – Principles for the Management of Concentration Risk
- Annex 2H – Principles on Risk Management
- Annex 2I – Principles for the Management of Risk in Market-Related Activities
- Annex 2J – Market Risk – Calculation of General Interest Rate Risk on Debt Instruments
- Annex 2K – Implicit Support for Securitisation Transactions by Credit Institutions authorised under the Banking Act 1994
Appendix 3 – The Authority’s Supervisory Review and Evaluation Process (SREP) – General Framework
- Annex 3A – SREP-ICAAP Interaction Process
- Annex 3B – Technical Criteria on the Supervisory Review and Evaluation Process as utilised by the Authority
- Annex 3C – The Authority’s Prudential Measures
Appendix 4 – Obligations of the Authority as Consolidating Supervisor
Appendix 5 – Market Transparency on Asset Encumbrance and Monitoring thereof
BR/13/2021 – Prudential Assessment Of Acquisitions And Increase Of Shareholdings In Credit Institutions Authorised Under The Banking Act 1994
BR/14/2022 – Outsourcing By Credit Institutions Authorised Under The Banking Act 1994
Outsourcing by Credit Institutions Authorised under the Banking Act 1994
BR/15/2025 – Capital Buffers Of Credit Institutions Authorised Under The Banking Act 1994
Capital Buffers of Credit Institutions Authorised Under the Banking Act 1994
BR/16/2020 – Funding Plans for Credit Institutions Authorised under the Banking Act (Cap. 371)
Funding Plans for Credit Institutions Authorised under the Banking Act (Cap. 371)
Annex 1 – Reporting Instructions
BR/17/2016 – ‘Management Expenses Contribution’ Under The Depositor Compensation Scheme Regulations (Sl.371.09)
“Management Expenses Contribution” under the Depositor Compensation Scheme Regulations (Sl.371.09)
BR/18/2024 – ‘Risk-Based Method’ and the ‘Compensation Contribution Method’ under the Depositor Compensation Scheme Regulations
BR/19/2019 – Banking Rule On ‘Payment Commitments’ Under The Depositor Compensation Scheme Regulations (S.L. 371.09)
BR/20/2024 – Recovery Plans for Credit Institutions Authorised under the Banking Act
Recovery Plans for Credit Institutions Authorised Under the Banking Act (CAP. 371)
BR/21/2022 – Remuneration Policies and Practices
Remuneration Policies and Practices
BR/22/2020 – Complaints-Handling Procedures for Credit Institutions Authorised under the Banking Act 1994
Complaints-Handling Procedures for Credit Institutions Authorised under the Banking Act 1994
BR/23/2023 – Reporting and Disclosure of Exposures subject to Measures applied in response to the COVID-19 Crisis
BR/24/2024 – Internal Governance of Credit Institutions Authorised under the Banking Act
Internal Governance of Credit Institutions Authorised Under The Banking Act
Annex I – Product Oversight and Governance Arrangements for Retail Banking Products
BR/25/2022 – Financial Holdings Companies and Mixed Financial Holding Companies under the Banking Act
Financial Holdings Companies and Mixed Financial Holding Companies under the Banking Act
BR/26/2022 – Stress Testing Requirements of Credit Institutions Licensed under the Banking Act
Stress Testing Requirements of Credit Institutions Licensed under the Banking Act
BR/27/2022 – The Application of Certain Options and National Discretions
The Application of Certain Options and National Discretions
BR/28/2023 – Loan Origination and Monitoring by Credit Institutions licensed under the Banking Act
Loan Origination and Monitoring by Credit Institutions licensed under the Banking Act
BR/29/2023 – Management of Interest Rate Risk and Credit Spread Risk arising from Non-Trading Book Activities
Management of Interest Rate Risk and Credit Spread Risk arising from Non-Trading Book Activities
Annex I on Exposures Associated with High Risk
Annex II on the Treatment of Foreign Exchange
BR/30/2023 – Establishing an Intermediate EU Parent Undertaking
Establishing an Intermediate EU Parent Undertaking
Annex I – MFSA Template for IPU Threshold Monitoring
BR/31/2025 – Data Integrity and Reporting Standards for Supervisory Compliance
Data Integrity and Reporting Standards for Supervisory Compliance
Rules applicable up to 31 December 2022
BR/23/2022 Reporting and Disclosure of Exposures subject to Measures applied in response to the COVID-19 Crisis
Reporting and Disclosure of Exposures subject to Measures applied in response to the COVID-19 Crisis
Rules applicable up to 31 December 2013
BR/02/2011 Large Exposures Of Credit Institutions Authorised Under The Banking Act 1994
Large Exposures of Credit Institutions
Appendix 1 – Reporting Schedules
BR/03/2012 Own Funds Of Credit Institutions Authorised Under The Banking Act 1994
Own Funds of Credit Institutions
Appendix 1 – Reporting Schedule
Appendix 2 – Definition of Components Constituting Own Funds
BR/04/2013 Capital Requirements Of Credit Institutions Authorised Under The Banking Act 1994
Appendix 2 – Section I Credit Risk Standardised Approach
Appendix 2 – Section II IRB Approach
Appendix 2 – Section III CRM (Credit Risk Mitigation)
Annex II – Classification of Off-Balance Sheet items
Annex III – Types of Derivatives
Annex IV – Treatment of Interest and foreign exchange instruments
Annex V – Transitional Provisions
BR/07/2013 Publication Of Annual Report And Audited Financial Statements Of Credit Institutions Authorised Under The Banking Act 1994.
BR/08/2012 Capital Adequacy Of Credit Institutions Authorized Under The Banking Act 1994
Capital Adequacy of Credit Institutions Authorized Under the Banking Act 1994
Appendix A – Calculation of Capital Requirements Ratio
Appendix C – The Trading Book and Hedging Exposures
Appendix D – Instruments which qualify for inclusion in the Trading Book
Appendix E – Calculation of Consolidated Capital Requirements Ratio
Appendix F – Business Activities subject to Capital Requirements
Appendix G – Capital Adequacy Rule Summary Schedule
Annex I – Calculating Capital Requirements for Foreign Exchange Risk
Appendix I – A – Calculating the Net Open Position
Appendix I – B – Calculation of the Capital Requirement for Foreign Exchange
Appendix I – C(c-i) – Return of Long Currency Positions
Appendix I – C(c-ii & iii) – Return of Long Currency Positions (Codes)
Appendix I – C(c-iv) Return of Short Currency Positions
Appendix I – C(c-v & vi) Return of Short Currency Positions (Codes)
Appendix I – D – Simple Method for Options (Carve-out)
Appendix I – E – Total Capital Requirements for Foreign Exchange Risk (Return)
Annex II – Calculating Capital Requirements for Settlement and Counterparty Risk
Appendix II – A – Recognised Clearing Houses and Exchanges
Annex III – Calculating Capital Requirements for Position Risk
Appendix III – A – Interest Rate Specific Risk (Return)
Appendix III – B – Interest Rate General Risk Method 1 – Maturity Bands, Risk Weights (Return)
Appendix III – C – Interest Rate General Risk Method 2 – Duration Bands, Risk Weights (Return)
Appendix III – D – The Carve-Out Method for Options
Appendix III – E – Relevant Credit Rating Agencies and Investment Grade Ratings
Appendix III – F – Equity Position Risk (Return)
Appendix III – G – Position Risk Summary (Return)
Annex V – Calculating Capital Requirements for Commodities Risk
Appendix V – A – Maturity Ladder Approach for Commodities Risk (Example)
Annex VI – Calculating Capital Requirements for Large Exposures Risk
Appendix VI – A – Calculation of Incremental Trading Book Capital Requirement (Example)
Annex VII – Use of Internal Models to calculate Capital Requirements
BR/10/2013 Supervision On A Consolidated Basis Of Credit Institutions Authorised Under The Banking Act 1994
Supervision on a Consolidated Basis of Credit Institutions authorised under the Banking Act 1994
BR/12/2013 The Supervisory Review Process Of Credit Institutions Authorised Under The Banking Act 1994
The Supervisory Review Process Of Credit Institutions Authorised Under The Banking Act 1994
Appendix 1 Internal Governance
Annex 2A – ICAAP Report – Recommended Structure
Annex 2B – Technical Criteria on Organisation & Treatment of Risks
Annex 2C – List of Definitions
Annex 2D – Principles on Stress Testing
Annex 2E – Principles for Remuneration Policies
Annex 2F – Principles for the Management of IRRBB
Annex 2G – Principles for the Mgmt of Concentration Risk
Annex 2H – Principles on Risk Management
Annex 2I – Principles for the Management of Operational Risk in Market-Related Activities
Annex 3A – SREP-ICAAP interaction process
Annex 3B – Technical Criteria on SREP
Annex 3C – Prudential Measures
Appendix 4 Obligations of the Authority as Consolidating Supervisor
Superseded Rules
BR/01/2020 Application Procedures And Requirements For Authorisation Of Licences For Banking Activities Under The Banking Act 1994
BR/01/2022 Application Procedures And Requirements For Authorisation Of Licences For Banking Activities Under The Banking Act 1994
BR/02/2011 Large Exposures for Credit Institutions Authorised Under the Banking Act 1994
BR/07/2014 – Publication of Annual Report And Audited Financial Statements of Credit Institutions Authorised Under The Banking Act 1994
BR/09/2019 Measures Addressing Credit Risk Arising From the Assessment Of the Quality of Asset Portfolios Of Credit Institutions Authorised Under the Banking Act 1994.
BR/12/2014 The Supervisory Review Process Of Credit Institutions Authorised Under The Banking Act 1994
The Supervisory Review Process of Credit Institutions authorised under the Banking Act 1994
Annex 2B – Technical Criteria on Organisation & Treatment of Risks
Annex 2D – Principles on Stress Testing
BR/14/2019 Outsourcing By Credit Institutions Authorised Under The Banking Act 1994
BR/14/2019 – Outsourcing by Credit Institutions Authorised under the Banking Act 1994
BR/14/2020 Outsourcing By Credit Institutions Authorised Under The Banking Act 1994
Outsourcing by Credit Institutions Authorised under the Banking Act 1994
BR/15/2019 Capital Buffers Of Credit Institutions Authorised Under The Banking Act 1994
Capital Buffers of Credit Institutions Authorised Under the Banking Act 1994
BR/15/2022 Capital Buffers Of Credit Institutions Authorised Under The Banking Act 1994
Capital Buffers of Credit Institutions Authorised Under the Banking Act 1994
BR/15/2022 – Capital Buffers Of Credit Institutions Authorised Under The Banking Act 1994
Capital Buffers of Credit Institutions Authorised Under the Banking Act 1994
BR/16/2018 Funding Plans For Credit Institutions Authorised Under The Banking Act 1994
Funding Plans for Credit Institutions authorised under the Banking Act 1994
Annex 1 – Definitions – Key Features
Annex 2 – Guidance Templates – FOR INFORMATION PURPOSES ONLY
BR/18/2016 – ‘Risk-Based Method’ And The ‘Compensation Contribution Method’ Under The Depositor Compensation Scheme Regulations
BR/20/2019 Recovery Plans for Credit Institutions Authorised Under the Banking Act (CAP. 371)
Recovery Plans for Credit Institutions Authorised Under the Banking Act (CAP. 371)
BR/20/2023 – Recovery Plans for Credit Institutions Authorised Under the Banking Act (CAP. 371)
Recovery Plans for Credit Institutions Authorised Under the Banking Act (CAP. 371)
BR/21/2019 Remuneration Policies and Practices
Remuneration Policies and Practices
BR/21/2022 Remuneration Policies and Practices
Remuneration Policies and Practices
BR/23/2020 Reporting and Disclosure of Exposures subject to Measures applied in response to the COVID-19 Crisis
Reporting and Disclosure of Exposures subject to Measures applied in response to the COVID-19 Crisis
BR/24/2022 Internal Governance of Credit Institutions Authorised Under The Banking Act
Internal Governance of Credit Institutions Authorised Under The Banking Act
BR/24/2022 – Internal Governance of Credit Institutions Authorised Under The Banking Act
Internal Governance of Credit Institutions Authorised Under The Banking Act
BR/24/2024 – Internal Governance of Credit Institutions Authorised Under The Banking Act
Internal Governance of Credit Institutions Authorised Under The Banking Act
Background Information
The purpose of supervisory disclosures is to enhance transparency of supervisory practices. Transparency is a key element in effective banking supervision, as emphasized by the Basel Committee on Banking Supervision in its Core Principles on Effective Banking Supervision. In terms of articles 143 and 144 of the Directive 2013/36/EU as amended by Directive 2019/878/EU (hereunder the ‘CRD’) and the Commission Implementing Regulation (EU) 2024/796 of 4 March 2024 amending Implementing Regulation 2019/912 of 28 May 2019 and Implementing Regulation (EU) No 650/2014, laying down implementing technical standards with regard to the format, structure, contents list and annual publication date of the information to be disclosed, National Competent Authorities (‘NCAs’) are required to disclose and provide a comprehensive overview of the supervisory and regulatory framework in their respective jurisdiction. The information disclosed aims at enabling a meaningful comparison of the approaches adopted by the NCAs of the different Member States. Comparison is further enhanced through a common set of templates (Annexes) provided by the European Banking Authority (‘EBA’).
- Rules and guidance: the texts of laws, regulations, administrative rules and general guidance adopted in Malta in the field of prudential regulation;
- Options and national discretions: the manner in which Malta Financial Services Authority (‘Authority’) exercises options and national discretions available in EU law;
- Supervisory review: the general criteria and methodologies used by the Authority in the Supervisory Review and Evaluation Process (SREP);
- Aggregate statistical data: key aspects of the implementation of the prudential framework in Malta (e.g. assets, capital requirements, Pillar I and Pillar II data, supervisory measures and administrative penalties).
The scope of the information published covers licence holders falling within the scope of the CRD and subject to the direct supervision of the Authority (i.e. LSI credit institutions and CRR investment firms). The below sections provide links to Authority’s supervisory disclosure requirements.
- Rules and Guidance
- Options and National Discretions
- Supervisory Review
- Aggregate Statistical Data
The supervisory disclosure information related to significant credit institutions (‘SI”s’) is published by the European Central Bank (‘ECB’) as the competent authority for the Single Supervisory Mechanism (‘SSM’) and can be accessed at: Banking Supervision.
Rules and Guidance
In accordance with Article 143(1)(a) of the CRD IV, the Authority is required to publish information on legal and regulatory texts adopted in Malta in the field of prudential regulation, including:
- Laws and regulations adopted by Malta to implement the provisions of CRD IV and CRR. These texts outline the primary supervisory requirements for supervised credit institutions and investment firms.
- Administrative rules, i.e. instructions to supervised banks on how to comply with legislative and regulatory requirements.
- General guidance, i.e. explicit disclosure requirements under CRD IV and explanations deemed necessary to set out how the rules should be applied by institutions, as well as any other relevant information to enhance the understanding of the capital adequacy framework.
The tables below are divided into eight parts, in accordance with Commission Implementing Regulation (EU) 2019/912 as follows:
- Part 1 Transposition of Directive 2013/36/EU
- Part 2 Model approval
- Part 3 Specialised lending exposures
- Part 4 Credit risk mitigation
- Part 5 Specific disclosure requirements applied to institutions
- Part 6 Waivers for the application of prudential requirements
- Part 7 Qualifying holdings in a credit institution
- Part 8 Regulatory and financial reporting
Options and National Discretions
CRR and CRD IV provide a number of options and national discretions which may be applied on the basis of national circumstances. The Authority, in such situations, is given a choice as to how (‘option’), or whether or not (‘national discretion’), to apply such options and discretions within the parameters of EU legislation.
In accordance with Article 143(1)(b) of the CRD IV and Commission Implementing Regulation (EU) 2019/912, the following tables are made up of three parts as follows:
- Part 1 Overview of options and discretions set out in Directive 2013/36/EU, Regulation (EU) No. 575/2013 and LCR Delegated Regulation (EU) 2015/61
- Part 2 Transitional options and discretions set out in Directive 2013/36/EU and Regulation (EU) No 5758/2013
- Part 3 Variable elements of remuneration (Article 94 of Directive 2013/36 EU)
Supervisory Review
Pursuant to Article 143(1)(c) of Directive 2013/36/EU (‘CRD IV’), the Authority is required to publish information on the general criteria and methodologies used in the Supervisory Review and Evaluation Process (‘SREP’) referred to in Article 97 of the CRD IV.
Supervisory disclosures cover the following aspects of SREP:
- Scope of application of the SREP (including proportionality)
- Individual risk assessment
- Review and evaluation of ICAAP & ILAAP
- Overall SREP assessment and supervisory measures
Aggregate Statistical Data
Article 143(1)(d) of the Directive 2013/36/EU (‘CRD IV’) requires competent authorities to disclose aggregate statistical data on key aspects of the implementation of the prudential framework in their respective jurisdiction. The information includes consolidated data on the financial sector, Pillar I (credit risk, market risk and operational risk), waivers as well as supervisory measures and administrative penalties.
The reference date for the data is 31 December of the preceding year.
The scope of the information published covers licence holders falling within the scope of the CRD and subject to the direct supervision of the Authority (i.e. LSI credit institutions and CRR investment firms).
The supervisory disclosure information related to significant credit institutions (‘SI”s’) is published by the ECB as the competent authority for the Single Supervisory Mechanism (‘SSM’) and can be accessed at: Banking Supervision.
The links to the other competent authorities’ websites pages on aggregate statistical data can be accessed from the Aggregate Statistical Data section on the EBA website.
Information disclosed can be found in the following tables:
Credit institutions are required to report to the MFSA prudential information under the Common Reporting (COREP) framework and the Financial Reporting (FINREP) framework established under Regulation (EU) No 575/2013, in accordance with Commission Implementing Regulation (EU) 2021/451 until 31 December 2024, and subsequently under Commission Implementing Regulation (EU) 2024/3117 from 1 January 2025. This is subject to the transitional provisions outlined in Article 25 of CIR 2024/3117, which maintain the applicability of specific provisions of the former regulation until 31 December 2025. Reporting shall also be in accordance with Circulars on COREP and FINREP issued by the Authority from time to time and subject to terms and conditions as may be imposed by the Authority.
Reporting Modules
Unless stated otherwise in the respective instructions, all FINREP and COREP data should be submitted in actual figures including two decimal places (e.g. €2,560,561.43).
Data which is required as rates, percentages or ratios must be reported using the decimal notation, with a minimum precision equivalent to four decimals (e.g. 9.31% should be reported as 0.0931).
The templates provided below are to be used for submission of data to the Authority. Links to the EBA website are provided for information and reference purposes only.
ITS v4.0 for Credit Institutions
Credit institutions are required to submit COREP and FINREP data on both a solo and consolidated basis, where applicable. Annexes, including reporting instructions are maintained and made available on the EBA Webpage for each reporting framework release.
Applicable as from reference date March 2025
2. COREP – Leverage (module code: LR) – Updated on 13/03/2025
Applicable as from reference date March 2025
3. COREP – Large Exposures and Concentration Risk (module code: LE) – Updated on 20/10/2022
Applicable as from reference date December 2022
4. COREP – Liquidity, LCR DA (module code: LCRDA) – Updated on 20/10/2022
Applicable as from reference date December 2022
Commission Delegated Regulation (EU) 2015/61
EBA link on amended technical standards on reporting of the LCR
5. COREP – Liquidity, NSFR (module code: NSFR) – Updated on 07/02/2023
Applicable as from reference date December 2022
6. COREP – Liquidity, ALMM (module code: AMM) – Updated on 14/07/2023
Applicable as from reference date June 2023
EBA link on amended technical standards on reporting of ALMM
7. FINREP – FINREP including NPL and Forbearance (module code: FINREP) – Updated on 20/10/2022
Applicable as from reference date December 2022
EBA Link on Forbearance and NPEs
8. FINREP – Asset Encumbrance (module code: AE) – Updated on 23/06/2023
Applicable as from reference date June 2023
9. Identification of G-SIIs (module code: G-SII) – Updated on 20/10/2022
Applicable as from reference date June 2023
10. Specific Reporting Requirements for Market Risk (module code: FRTB) – Updated on 20/10/2022
Applicable as from reference date December 2022
ITS Regulation on specific reporting requirements for market risk (EU) 2021/4533
Corrigendum to Commission Implementing Regulation (EU) 2021/453
11. Funding Plans (module code: FP) – Updated on 20/10/2022
Applicable as from reference date December 2022
12. Remuneration Benchmarking (module code: REM_BM) – Updated on 18/08/2023
Applicable as from 2022 FYE
13. Remuneration High Earners (module code: REM_HE) – Updated on 14/07/2023
Applicable as from 2022 FYE
EBA Guidelines on High Earner Data collection under CRD & IFD
Applicable as from 2022 FYE
15. Remuneration Benchmarking of Gender Pay Gap (module code: REM_GAP) – Updated on 06/02/2023
Applicable as from 2023 FYE
16. Environmental, Social and Governance (module code: ESG) – Updated on 30/04/2024
Applicable as from reference date December 2023
Commission Implementing Regulation (EU) 2022/2453
17. Interest Rate Risk in the Banking Book (module code: IRRBB) – Updated 0n 24/06/2024
Applicable as from reference date September 2024
Amending Implementing Technical Standards on Supervisory Reporting with regard to IRRBB Reporting
Applicable as from reference date December 2024
BR/24 Internal Governance of Credit Institutions Authorised under the Banking Act
ITS v4.0 for Foreign Branches
Foreign Branches are required to submit data on a solo basis. Annexes, including reporting instructions are maintained and made available on the EBA Webpage for each reporting framework release.
1. FINREP – FINREP including NPL and Forbearance (module code: FINREP) – Updated on 03/01/2024
Applicable as from reference date December 2023
EBA Link on Forbearance and NPEs
2. COREP – IPL (module code: OF) – Updated on 13/03/2025
Applicable as from reference date March 2025
3. Remuneration High Earners (module code: REM_HE) – Updated on 06/02/2023
Applicable as from 2022 FYE
EBA Guidelines on High Earner Data collection under CRD & IFD
Other Documentation
ITS on Supervisory Reporting Regulation (EU) No 680/2014
ITS on Supervisory Reporting Regulation (EU) 2021/451, applicable as from 28 June 2021
Interactive ITS on Supervisory Reporting
EBA Validation Rules – Updated 13/03/2025
CRDIV LH Portal Submissions Notifications
Templates and Instructions ITS V3.5 – Credit Institutions
Templates and Instructions ITS V3.5 – Foreign Branches
Templates and Instructions ITS V3.4 – Credit Institutions
Templates and Instructions ITS V3.4 – Foreign Branches
Templates and Instructions ITS V3.3 – Credit Institutions
Templates and Instructions ITS V3.3 – Foreign Branches
Templates and Instructions ITS V3.2 – Credit Institutions
Templates and Instructions ITS V3.2 – Foreign Branches
Templates and Instructions ITS V3.0 – Credit Institutions
Templates and Instructions ITS V3.0 – Foreign Branches
Templates and Instructions ITS V2.9 – Credit Institutions
Templates and Instructions ITS V2.9 – Foreign Branches
Submission of Reporting Templates
1. Remittance Timetable
Submission of data by credit institutions to the Authority shall be in line with the reporting dates available in the Remittance Timetable (updated on 02/01/2025).
2. LH Portal Submission
Submission of Supervisory Reporting Modules should be made through the below link:
Kindly refrain from using e-mail for the submission of such templates.
The below documents provide detailed guidelines on the submission of Supervisory Reporting data:
- LH Portal for Credit Institutions – Updated 13/03/2025
- Annex I: XML Schema Specification for ECB Feedback – Updated 02/01/2025
- Annex II: Template for Providing Justification on Failing Checks – Updated 24/06/2024
- LH Portal for Branches – Updated 13/03/2025
- Annex I: XML Schema Specification for ECB Feedback – Updated 02/01/2025
- Annex II: Template for Providing Justification on Failing Checks – Updated 24/06/2024
Queries
Institutions are highly encouraged to refer to the below dedicated EBA Q&A webpage for queries regarding interpretation of reporting requirements within the modules and interpretation of the respective instruction annexes.
www.eba.europa.eu/single-rule-book-qa
This webpage provides replies to a number of queries already raised by various stakeholders, to which the EBA has issued its guidance and clarifications. Interested parties also have the opportunity to lodge their own queries on areas which have not yet been raised or discussed by other stakeholders.
COVID-19 Reporting (applicable till December 2022 reference date)
With reference to the MFSA Circular dated 19 January 2023, this reporting is discontinued as from 1 January 2023. The last reference date of this reporting is December 2022.
In the context of the COVID-19 crisis, regulators and supervisory authorities have the responsibility to ensure that information is available to monitor and assess the risks associated with banks’ activities. COVID-19 reporting requirements cover data that are crucial for understanding the soundness of all credit institutions. The MFSA is hereby providing detailed information on such reporting requirements.
1) Banking Rule 23 – Reporting and Disclosure of Exposures subject to Measures applied in response to the COVID-19 Crisis, setting out reporting requirements emanating from EBA Guidelines on COVID-19 measures reporting and disclosure
Required to be submitted by all credit institutions on an individual, sub-consolidated and consolidated basis, as applicable.
- Frequency of reporting: Monthly reporting, unless otherwise informed by MFSA and/or ECB.
- Format of submission: Excel (.xlsx) for reference dates until August 2020; both Excel (.xlsx) and XBRL format as from September 2020 reference date.
i) Significant Institutions
First reference and remittance dates: as per JST communication.
ii) Less Significant Institutions and Significant Subsidiaries
First reference date: 30 June 2020.
First remittance date: 11 August 2020.
Downloads
All credit institutions:
- Download Reporting Templates applicable from December 2022 reference date here – Updated 20/10/2022.
- Download Reporting Templates applicable till August 2020 reference date here – Updated 15/07/2020.
- Download Reporting Templates applicable from September 2020 reference date here – Updated 30/09/2020.
- Download Instructions to Reporting Templates here (Annex 2 of BR/23).
- Download MFSA Submission Guidelines here – Updated 23/10/2020.
Significant Institutions: Download ECB COVID-19 reporting instructions here (as per JST communication) – Updated 25/02/2021.
Directives
Since 2007, the Authority has converted all Banking Directives into Banking Rules. Nevertheless Banking Directives BD/04 and BD/06 have been retained hereunder in their original format and content for reference purposes only. Similarly Banking Rule BR/03 has been revised during 2010 and the previous version is retained hereunder for reference purposes only.
BR/03/2008 Own Funds Of Credit Institutions Authorised Under The Banking Act 1994
Own Funds of Credit Institutions
BD/04/2002 Solvency Ratio Of Credit Institutions Authorised Under The Banking Act 1994
Solvency Ratio of Credit Institutions
Capital Adequacy Summary Return
Other Capital and Non-Capital Liabilities
Int and For Exchange Rate Related Contracts
BD/06/2005 Statutory Financial Information To Be Submitted By Credit Institutions Under The Banking Act 1994
Statutory Financial Information Directive
Credit Intermediaries
In this section one will find the main legislation laying down the framework of the regulatory regime applicable to credit intermediaries. These provide for the regulatory structure for the supervision of the MFSA, together with the MCCAA, of these entities and include, amongst others, the powers of the MFSA to grant, restrict or withdraw admissions issued to credit intermediaries. The main legislation also provides for the power of the MFSA and the MCCAA to impose administrative penalties on these entities in specific circumstances. The main legislation also contains an enabling clause for the MFSA to issue Credit Intermediaries’ Rules to further supplement the provisions in the law.
Rule
The Banking Rule – Credit Intermediary – Updated 03/08/2023
Credit Servicers
Subsidiary Legislation
S.L. 345.01 – Credit Servicers and Credit Purchasers Act (Passporting) Regulations
S.L. 645.02 – Credit Servicers and Credit Purchasers Act (Fees) Regulations
L.N. 173 of 2024 – Credit Servicers and Credit Purchasers Act (Fees) Regulations, 2024
User Guidelines – Credit Servicers and Credit Purchasers Act (Fees) Regulations
