MTEUROPAY is a payment system operated by the Central Bank of Malta offering secure settlement of euro retail payments to credit institutions, financial institutions, payment processing institutions and central securities depositories licensed in Malta by the Malta Financial Services Authority through Euro Banking Association (EBA) STEP2 platform.

The Central Bank of Malta has the required infrastructure to connect directly with the EBA's STEP2 platform, for the clearing of national and cross-border SEPA Credit Transfers (SCTs) and SEPA Direct Debits (SDDs), both Core and B2B.  The operating days of MTEUROPAY tally with the TARGET2 calendar. Inbound and outbound communication occurs exclusively by means of SWIFT.

The Central Bank of Malta may also, at its discretion admit the following entities as direct participants:

  • Public Sector entities in Malta processing payments in full compliance with technical specifications;
  • Institutions licensed under the Investment Services Act in Malta by the Malta Financial Services Authority (MFSA);
  • Organisations providing clearing or settlement services that are subject to oversight by competent authorities in Malta.

The benefits that MTEUROPAY offers to the participants are:

  • No credit risk as settlement is through Central Bank money;
  • No dependency on cross border correspondent banks for the settlement of retail payments in own currency;
  • SCTs addressable to / from participants are cleared locally, thus more timely processing;
  • Competitive fee structure;
  • Access to European payment infrastructures;
  • National governance structure;
  • Economies of scale.

Requirements for participation in MTEUROPAY are:

  • SWIFT Membership and Connected BIC;
  • MFSA licence;
  • European Payments Council (EPC) participation;
  • Adherence to the Prevention of Money Laundering Act (PMLA), Prevention of Money Laundering and Funding of Terrorism Regulations (PMLFTR) and any Financial Intelligence Analysis Unit (FIAU) Directives, and implementation of the agreed action plans made by the FIAU or the MFSA, if applicable.

Prospective participants will need to undergo a thorough due diligence assessment process and demonstrate robust AML/FT compliance procedures in place.

For further information, you may contact us via email.

Downloadable Information/Forms:

The Agreement on access to MTEUROPAY, operating procedures and technical standards will be provided after the initial meeting.