“The adoption of the principle of proportionality when dealing with small, though systemic banks, should be taken into consideration during the implementation process of any Banking regulations”. This was stated by Minister for Finance Edward Scicluna during the Eurogroup meeting in the margins of the Economic and Financial Affairs Council (ECOFIN) in Brussels.
PRESS RELEASE BY THE MINISTRY FOR FINANCE
European Ministers for Finance were discussing the completion of the Banking Union, the EU fiscal rules and the possible new fiscal policy instruments in the European Monetary Union architecture.
The provision for non-performing loans, the implementation of the MREL and the state of play with the building-up of the Single Resolution Fund (SRF) were among the issues discussed.
Earlier in the meeting the Minister for Finance delivered a presentation about Malta’s structural reforms and their positive effect on the Maltese economy and its public finances.
Discussions at ECOFIN Council focused on the VAT e-commerce legislative package aiming at simplifying further cross-border sales while simultaneously strengthening compliance by e-commerce companies and ensuring that they honour their VAT obligations within the EU, thereby combating tax fraud. The ECOFIN also held a session to review the European System of Financial Supervision.
Addressing the meeting, Minister for Finance Edward Scicluna fully supported the VAT package and added that Malta has invested into steering forward this legislative proposal during the Maltese Presidency, whereby an agreement should be reached by end of the year.
Minister Scicluna emphasised the importance of simplifying rules and obligations for small and medium sized businesses, while highlighting the importance of this dossier for Malta in order to combat cross-border tax fraud and to complete the Digital Single Market.
On the Blacklisting of Tax Havens discussion, Minister Scicluna welcomed the exercise and stated that the EU listing in itself will have a significant deterrent effect, though additional measures may be imposed.
Minister Scicluna concluded by remarking that Malta supports measures in favour of tax transparency directly by the EU but also through the OECD.
Minister Scicluna held a number of bilateral meetings on the fringes of ECOFIN.
Minister Edward Scicluna was accompanied by Malta’s Permanent Representative to the European Union Ms. Marlene Bonnici and by Permanent Secretary Mr. Alfred Camilleri.
Tuesday 7th November 2017