Joe Bannister’s replacement at helm of MFSA 'not yet identified'

The government has not yet identified a replacement for Prof. Joe Bannister at the helm of the Malta Financial Services Authority and will wait until a public consultation on the strengthening of the authority is concluded before appointing someone, the parliamentary secretary for financial services Silvio Schembri said this morning. 

Schembri, who was addressing the media on the launch of a consultation document to strengthen the MFSA, said that the government would not appoint someone new before concluding the consultation since the top hierarchy structure of the MFSA might need to change. 

He said that it was time for the MFSA to step up its game through a pragmatic risk-based approach rather than a descriptive one, resulting in more efficient processes in today's dynamic financial services environment. 

"Financial services sector is one of our economy's pillars and the government is committed to continue strengthening it," he said. 

Schembri said it was important to bring the MFSA up to date with modern trends, including FinTech, blockchain and crypto-currencies, while streamlining the core structure of the Authority. 

"The MFSA needs to be vigilant to ensure that any new niches do not endanger the long-term stability of the sector and Malta's reputation," he said. 

Schembri said the risk of allowing the industry to rap new niches could be contained if there was the right synergy between those willing to invest and the regulatory authority to create products that actually reduce such risks. 

He said that the consultation process will end in mid-September with a first draft of a bill proposing amendments to the existing legislation to be ready by the end of the year.