MBR final low res

Malta Business Review
NEWSMAKERS
Minister Scicluna reaffirms the Ministry’s
commitments to combat money laundering
An awareness seminar for voluntary
organisations was held at the Aula Magna,
University of Malta. The seminar was organised
by the National Coordinating Committee for
Anti-Money Laundering and Financing of
Terrorism with the full support of the Ministry of
Finance and the Office of the Commissioner of
Voluntary Organisations.
When addressing officials of voluntary
organisations, Minister Edward Scicluna
emphasised that the government is determined
in its fight against money laundering and the
financing of terrorism. In his speech, Minister
Scicluna referred to the newly established antimoney
laundering and anti-terrorism financing
mechanism, which has been set up and has
been operating since April 2018. The setting
up of the National Coordinating Committee
is just one of the initiatives being taken by the
Government to ensure the security of the local
economy. The Minister referred to the National
Risk Assessment which was completed first in
2015 and was updated in 2017. This National
Risk Assessment identified and assessed the
threats and vulnerabilities related to issues of
money laundering and terrorism financing. This
assessment formed the basis of Malta’s Anti-
Money-Laundering and Combating of Terrorism
Strategy which embraces a comprehensive
list of actions to enhance the national antimoney
laundering and the combat of terrorism
framework which the government is taking
to address risks. In this national strategy the
National Coordinating Committee is identified
as being the mechanism responsible for
defining the overall strategy and overseeing
the implementation of the actions listed in the
strategy.
Minister Scicluna stressed that the aim of the
National Coordinating Committee is to not only
define an overall anti-money laundering and
combat of financing of terrorism plan of action
and for overseeing the implementation of this
same strategy but to reach out to the various
stakeholders for an effective coordinated setup
in the national combat against money laundering
and terrorism financing. This newly established
mechanism is also an invaluable tool in helping
prepare for and coordinate for international
evaluations such as FSAP which have just finished
their evaluation and MONEYVAL which will be
making their next evaluation in November.
MBR
Creditline: Ministry of Finance and the Office of
the Commissioner of Voluntary Organisations.
Parliamentary Secretary Silvio Schembri
launches a Diploma in Cryptocurrency by
Centrecom
“Centrecom efforts and financial investments
amounting to €5m in order to support DLT
technology will serve as a model for other
companies” – Silvio Schembri
Parliamentary Secretary for Financial Services,
Digital Economy and Innovation Silvio Schembri
visited Centrecom, a private company focusing
on customer services which during the past few
months invested heavily in the latest technology
in order to proceed with its operations effectively
for the benefit of customers. “Centrecom
efforts in adapting to DLT technology will serve
58
Minister Scicluna during seminar
for voluntary organisations
Photoo: DOI - Clodagh Farrugia O'Neill
as a model for other companies still yet to
discover the opportunities this industry holds
and the benefits for day to day operations.
Besides, what is remarkable is the investment
in human resources and the strengthening
of its workforce’s skills”, said Schembri. He
commended Centrecom’s initiative with regard
to the sponsorship programme being offered
for its Training Department to fulfil a Diploma
in Cryptocurrencies. “In view of having world
leading companies in blockchain and the crypto
sphere that are choosing Malta as their home,
it is crucial to train our human resources and
familiarise them with this sector” stated the
Parliamentary Secretary.
Robert Spiteri, General Manager for Centrecom,
explained how the company is working to grow
its business and embrace the changes that
are coming along with the emergence of the
new blockchain and cryptocurrency industries.
In fact, in a short span of time since the
inauguration of the new premises in June 2018,
Centrecom invested around €5 million in an
effort to embrace new technology. Centrecom
announced its investment of €3 million for new
offices which can cater for 450+ desks in order
to offer a variety of services such as customer
support, amongst others. It was explained
that embracing the changes that are coming
along with the emergence of blockchain and
cryptocurriencies meant an investment of €1.4
million to have a robust technology in place as
well as investment in training the employees.
“I thank the administration of the company for
their efforts and for being part of the DELTA
Summit between the 3rd and 5th of October,
the Maltese Government’s official blockchain
and innovation event”, said Silvio Schembri. MBR
Scource: THE PARLIAMENTARY SECRETARIAT
FOR Financial Services, Digital Economy and
Innovation
The Malta Gaming Authority will be
launching its sandbox for Distributed
Ledger Technology during Delta Summit
During the Delta Summit, the Malta Gaming
Authority will be launching its sandbox for
Distributed Ledger Technology (DLT). This
was announced by Parliamentary Secretary
for Financial Services, Digital Economy and
Innovation Silvio Schembri while addressing
the third edition of iGaming idol—an event
which has become a staple in the calendar of
iGaming events rewarding excellence within the
Creditline: The Malta Gaming Authority
different iGaming spheres. Silvio Schembri said
that the MGA’s launch of the sandbox comes
after the publishing of a consultation document
in March which started discussions amongst
stakeholders for the introduction of DLT and
virtual currencies. “The Authority is keen to
embrace the technology and is not shying away
from understanding the rise of DLT Technology
with an aim to boost economic innovation, all
this within a regulated environment”, said Silvio
Schembri.
Sandbox is a space in which this technology can
operate securely in a restricted environment.
During the ceremony, Silvio Schembri presented
the Hall of Fame award for the first time, which
this year was awarded to George DeBrincat for
his proactivity in the industry since its inception.
This means that the third edition of iGaming idol
awarded 22 individuals for their outstanding
contribution towards the iGaming industry in the
home of gaming excellence. MBR
Creditline: The Malta Gaming Authority
Standard and Poor’s affirms Malta’s A-/A-2'
ratings with a positive outlook
The Ministry for Finance welcomes the latest
credit rating report by Standard and Poor’s
which affirms Malta’s A-/A-2' ratings with a
positive outlook.
Standard and Poor’s acknowledges that
in recent years, the Government has
consolidated government finances, reduced
general government debt relative to GDP, and
undertaken several structural reforms, notably
those that have increased female participation
in the labour market and reduced the country’s
energy bill. Indeed, the report states that the
positive rating reflects Malta’s strong growth
performance, the recurring current account
surpluses driven by Malta’s large services
exports, and the improving general government
budgetary position and fiscal management.
Standard and Poor’s notes that significant
investments in energy and logistics were
important contributors to growth in 2014 to
2016, while growth in the exports of services such
as tourism, logistics, and e-gaming are expected
to continue fuel growth in the coming years.
In 2019, it expects growth to moderate but to
exceed that of peers at similar income levels and
stages of development. The report notes that
the implementation of recommendations from
spending reviews, the fast pace of growth of new
economic sectors, and increases in government
revenues have allowed the consolidation of
public finances. It further projects that, with
recurrent fiscal surpluses, the debt-to-GDP ratio
will decline to under 40 per cent in 2021 from a
projected 47 per cent in 2018. On the banking
sector, the report notes that the domestic banks
are highly liquid and possess a low loan-todeposit
ratio.
Standard and Poor’s acknowledges that
macroeconomic policymaking will remain geared
toward further fiscal consolidation. Indeed,
it notes that efforts to further reform stateowned
enterprises, reduce skill mismatches,
and improve the long-term sustainability of
public finances will be implemented gradually,
alongside increased public investment to plug
infrastructure gaps. Minister for Finance Edward
Scicluna comments: “I am pleased to note that
Standard is attributing Malta’s exceptional
economic performance to the Government’s
economic, fiscal, and social policies and the
undertaking of reforms. The Government
intends to continue along this successful path as
promised in its electoral programme”. MBR
Credit: Ministry for Finance
Photo Credit: MFIN