The business regulatory framework
28 Jul 2020
A regulatory framework pertains to necessary regulations and other important guidance information, like relevant rules, laws and codes of conduct.
Why are regulatory frameworks important?
Regulatory frameworks are important tools for businesses because these frameworks outline the measures businesses must be aware of when they begin to establish their enterprises and thereafter during their operations.
At law, companies are artificial persons and therefore their behaviour needs to be guided and monitored. For this purpose, a number of laws, regulations and rules are set to ensure that proper adherence to statutory requirements and good corporate governance is administered in the best interest of the stakeholders to which a duty or obligation is owed. Of particular mention are two recent pieces of legislation that have been introduced in recent years and are intended to protect the customer in a number of ways. These are:
- the Insurance Distribution Directive (IDD) and
- the General Data Protection Regulations (GDPR)
In Malta, this framework is largely supervised by Malta Financial Services Authority (MFSA), which has been established as a single regulator of financial services regulating banking, financial institutions, payment institutions, insurance companies and insurance intermediaries, investment services companies among others. The MFSA was set up through an Act of Parliament and its main functions include the protection of consumers, integrity of financial markets, financial stability and the supervision of all financial services activities.
How can MITC help?
The Malta International Training Centre provides online webinars on regulation that serve to provide updates as well as to provide CPD opportunities to the participants.
Details of forthcoming regulatory sessions may be found here.