Thursday, 18 June 2020

Payment Services and E-Money Institutions

VolverIn the past years Malta has been harbouring several financial institutions aiming at providing financial services across Europe, in particular:

(i) Payment services institutions, passporting services under legal frameworks moulded after the second payment services directive (“PSD2” – Directive (EU) 2015/2366); and

(ii) Electronic money institutions, passporting services under legal frameworks moulded after the e-money directive (“EMD” – Directive 2009/110/EC).

Following MONEYVAL’s recommendations for Malta in its Fifth Round Mutual Evaluation Report dated July 2019, a number of financial institutions (including payment services and electronic money institutions) located in Malta are concerned with the impact for their business of the lack of adequate governmental action regarding measures on anti-money laundering and terrorist financing.

A not so friendly conduct of the Malta Financial Services Authority (MFSA) towards foreign owned/controlled institutions has also been pushing some companies into contemplating the possibility to move their business out of Malta and considering becoming based and licensed in other EU member states.

Where and how to relocate a business is a major and complex decision. If you are contemplating moving your business out of Malta, Portugal should be in your radar.

Under Portuguese law, payment services and e-money institutions are subject to the prudential and conduct supervision of the Bank of Portugal (in Portuguese “Banco de Portugal” – “BdP”).

An existing financial group may obtain BdP’s authorisation to incorporate a payment services and/or an e-money institution and subsequently complete the institution’s registration with BdP for the intended services. Later (subject to BdP’s approval), the Maltese institution may be incorporated into the new Portuguese entity via a cross-border merger, in terms that the business and operations of the entity may be carried out as a duly licensed Portuguese institution while maintaining legal business continuity.

Belzuz Abogados Comercial and Corporate Law Department has a team fully prepared to deal with these matters from regulatory, corporate and tax perspectives.

Commercial and Corporate Law department | (Portugal)

 

Belzuz Advogados SLP

This publication contains general information not constitute a professional opinion or legal advice. © Belzuz SLP, all rights are reserved. Exploitation, reproduction, distribution, public communication and transformation all or part of this work, without written permission is prohibited Belzuz, SLP.

Madrid

Belzuz Abogados - Madrid office

Nuñez de Balboa 115 bis 1

  28006 Madrid

+34 91 562 50 76

+34 91 562 45 40

This email address is being protected from spambots. You need JavaScript enabled to view it.

Lisbon

Belzuz Abogados - Lisbon office

Av. Duque d´Ávila, 141 – 1º Dtº

  1050-081 Lisbon

+351 21 324 05 30

+351 21 347 84 52

This email address is being protected from spambots. You need JavaScript enabled to view it.

Oporto

Belzuz Abogados - Oporto office

Rua Julio Dinis 204, Off 314

  4050-318 Oporto

+351 22 938 94 52

+351 22 938 94 54

This email address is being protected from spambots. You need JavaScript enabled to view it.

Associations

  • 1_insuralex
  • 3_chambers-2024
  • 4_cle
  • 5_chp
  • 6_aeafa