Fintech & digital payments rules in Malta (2026)

The MFSA licenses Payment Institutions and Electronic Money Institutions under the Financial Institutions Act (Cap. 376). Minimum capital requirements are €125,000 for PIs and €350,000 for EMIs; applicants must appoint a Compliance Officer, MLRO, Risk Manager, and at least two experienced directors. High-profile recent approvals include OKX and Gate Technology.

PSD2 was incorporated into Maltese law in August 2019 via amendments to the Banking Act and Financial Institutions Act, introducing a licensing and conduct framework for third-party providers including AISPs and PISPs. The Central Bank of Malta is the designated Payment System oversight authority under the Payment Services Directive.

In May 2025 the MFSA revised FIR/02 and FIR/03 to implement changes required by the Instant Payments Regulation (EU) 2024/886 regarding participation in designated payment systems, and to align with DORA. Chapter 1 of the Rulebook (FIR/01) was further updated in October 2025, clarifying the authorisation process for PIs and EMIs.

Under EU Instant Payments Regulation (EU) 2024/886, all Maltese PSPs offering standard euro credit transfers must also offer SCT Inst (SEPA Instant Credit Transfer) at non-discriminatory pricing as of January 2025. The Central Bank of Malta collected PSP data by April 2026 for compliance reporting under the Regulation.

Open banking is operative under the PSD2 AISP/PISP framework, with the Berlin Group NextGenPSD2 technical standards applied. While mobile/online banking penetration exceeds 60%, the number of active licensed AISPs/PISPs in the Maltese market remains limited. The forthcoming EU PSD3/PSR package (anticipated mid-2027) will extend mandatory data-sharing obligations.

The MFSA FinTech Regulatory Sandbox, operational since 2020, allows firms to test innovative financial products under a controlled regulatory environment. An Innovation Office and FinTech Innovation Hub complement the sandbox, providing regulatory guidance and shared infrastructure. Malta's fintech sector represented 8.2% of GVA and employed over 14,700 people as of 2025.