Log in or register
Share on LinkedInShare on LinkedIn

ARTICLE · 02 DECEMBER 2014

The Single Supervisory Mechanism

MFSA – Malta Financial Services Authority
Explore more from MFSA – Malta Financial Services Authority

The Single Supervisory Mechanism officially entered into operation marking a step towards greater European harmonisation.

European UnionFinance and Banking
Johan Farrugia
Johan Farrugia
Author LinkedIn connections

1. Introduction

The Single Supervisory Mechanism (SSM) officially entered into operation marking a step towards greater European harmonisation through the promotion of the single rulebook approach to the prudential supervision of credit institutions. On the 4th November 2014, the European Central Bank (ECB) announced that it would be responsible for the supervision of euro area banks, following a year-long preparatory phase.1 Established as a response to the aftermath of the financial crisis, the SSM is based on commonly agreed principles and standards whose main objectives include ensuring the safety and soundness of the European banking system, increasing financial integration and stability, and ensuring consistent supervision.

We operate a free-to-view policy, asking only that you register in order to read all of our content. Please login or register to view the rest of this article.

Register for freeORLog in

View source

Related Articles

Legal Intelligence Newsletters: sign up for the latest legal and regulatory news on your chosen topics

Read more about

Related Comparative Guides

See more popular content from

Article

Publication Of Commission Delegated Regulation Implementing Key Prospectus Reforms Under The EU Listing Act

The European Commission has published new delegated regulations amending the EU prospectus disclosure regime, introducing streamlined content requirements and standardized formats for various categories of prospectuses. These reforms, part of the broader EU Listing Act package, aim to reduce regulatory burdens for issuers while maintaining investor protection, with key changes including reduced historical financial information requirements and simplified disclosure obligations.
European UnionFinance and Banking
Ganado Advocates
Ganado Advocates
Article

CRD VI And Cross-Border Lending: What Third-Country Credit Institutions Need To Know

The European Union's Sixth Capital Requirements Directive introduces a groundbreaking EU-wide framework requiring third-country credit institutions to establish authorised branches when providing core banking services within the EU. This new regime, effective January 2027, replaces the previous patchwork of national rules with harmonised supervisory standards, though several exemptions and transitional protections apply to existing arrangements.
MaltaFinance and Banking
Camilleri Preziosi
Camilleri Preziosi
Article

AIFMD II Opens The Door To Loan Origination Funds In Malta

With AIFMD II now transposed into Maltese law, fund promoters, asset managers and family offices have access to new regulatory pathways for establishing loan origination and private credit vehicles in Malta. The revised framework expressly permits corporate lending by Alternative Investment Funds, while the updated NAIF regime brings loan origination within scope, opening doors to EU-wide distribution through the AIFMD marketing passport.
MaltaFinance and Banking
Finance Malta
Finance Malta
Article

EBA Publishes The Final Guidelines On The Sound Management Of Third-party Risk Regarding Non-ICT Services

The European Banking Authority has issued comprehensive guidelines addressing how financial institutions must manage risks associated with third-party service providers for non-ICT services. These new requirements expand beyond previous outsourcing frameworks, introducing broader applicability and more detailed governance standards for critical and important functions.
European UnionFinance and Banking
Ganado Advocates
Ganado Advocates
Article

How Do Funds Differ Between Payment Institutions And Electronic Money Institutions?

Payment Institutions and Electronic Money Institutions handle customer funds differently under EU law. While Payment Institutions use payment accounts for short-term transaction processing, Electronic Money Institutions store monetary value indefinitely in digital wallets. Understanding the legal distinction between these account types is crucial for fintech companies navigating PSD2 and EMD2 compliance requirements.
MaltaFinance and Banking
MK Fintech Partners
MK Fintech Partners