The Payment Services Directive (2015/2366 or
“PSD2”) which came into effect in
January 2018, arguably did not stand the test of time – loose
drafting and the rapid evolution of the banking and payments world,
have rendered PSD2 an outdated, overly-complex and unwieldy
legislative instrument which no longer meets the needs of
today's digital economy. PSD2, originally designed to
facilitate digital payments in a secure and efficient manner, is
now failing to provide the same level of security and is unable to
keep up with the fast-changing needs of digital payments. From a
national perspective the provisions of PSD2 are transposed into
Maltese law by virtue of the Financial Institutions Act (C. 376 of
the laws of Malta or “FIA”).
