Not our intention to be a burden, says new MFSA chief

It is not the Malta Financial Services Authority’s intention to be an undue supervisory burden, the financial watchdog’s new CEO has reassured businesses.

Joseph M. Gavin, previously a general counsel with the Central Bank of Ireland, took over the reins of the MFSA in September.

After his first few weeks in the job, Mr Gavin said, his determination to build on the work that had already been carried out at the Authority had only grown.

“The local financial services industry, and the jurisdiction as a whole, are at a crossroads. We are indeed facing a number of challenges, mainly as a result of the continuous evolution of the regulatory environment, the introduction of new and more complex products, and, of course, the FATF greylisting.”

On greylisting, Mr Gavin reiterated the MFSA’s commitment to collaborating closely with the National Coordinating Committee on Combating Money Laundering and Funding of Terrorism to provide assistance in moving beyond this phase.

That said, he emphasised that it is not the Authority’s intention to impose an undue supervisory burden. 

“Our risk-based approach and the adoption of a proportionality principle will keep driving our supervisory efforts.”

Mr Gavin added that the next MFSA Strategic Plan would set a clear course for the sustainable growth of the sector, with a focus on compliance, competitiveness and innovation.

“A healthy market also necessitates consumer confidence. Safeguarding consumers’ interests and promoting best practices to ensure consumers of financial services are treated fairly will remain one of our key strategic objectives.

“As a dynamic Regulator, the MFSA wants to actively contribute to the future of the financial services industry in Malta by fine-tuning the skills we have developed over the years, opening up to new opportunities, and strengthening the industry overall. I have great faith in this sector and will endeavour to drive toward this vision with resoluteness,” he said.