RESTRICTED
WORLD TRADE S/FIN/W/12/Add.55
12December 1997
ORGANIZATION(97-5479)
Original: English Committee onTrade inFinancial Services
COMMUNICATION FROM MALTA
Initial Offer onFinancial Services
Addendum
Thefollowing communication iscirculated attherequest ofMalta toMembers oftheCommittee
onTrade inFinancial Services.
_______________
Malta hereby submits itsoffer infinancial services under theGeneral Agreement onTrade
inServices. Thesubmission ofthisofferexpresses thefirmcommitment ofMalta towork withall
WTO Members towards succesfully concluding negotiations foraMFN-based agreement infinancial
services under theGATS bynotlaterthan12December 1997.
Thisoffer isconditional onasuccesful conclusion ofthese negotiations.S/FIN/W/12/Add.55
Page2MALTA
SPECIFIC COMMITMENTS -DRAFT INITIAL OFFER ONFINANCIAL SERVICES
Modes ofsupply: 1) Cross-border supply 2) Consumption abroad 3) Commercial presence 4) Presence ofnatural persons
Sector orSub-sector Limitations onMarket Access Limitations onNational Treatment Additional
Commitments
7.FINANCIAL SERVICES
1. Formode (3)commitments, under exchange control legislation non-residents wishing tosupply anyservices through theregistration ofalocal company may
dosowiththeprior permission oftheCentral Bank ofMalta. Companies withtheparticipation ofnon-resident legal ornatural persons require aminimum
share capital of10,000 Maltese Liriorwhich 50% hastobepaidup.Thenon-resident percentage share oftheequity istobepaidforwithfunds emanating
from abroad. Companies withnon-resident participation must apply forapermit from theMinistry ofFinance toacquire premises under theappropriate
legislation.
2. Formode (4)commitments, therequirements ofMaltese legilslation andregulations regarding entry, stay, acquisition ofrealproperty, work andsocial
security measures shall continue toapply, including regulations concerning period ofstay, minimum wages aswellascollective wage agreements. Entry,
work andresidence permits aregranted atthediscretion oftheGovernment ofMalta.
3. Formodes (1)and(2)commitments, exchange control legislation allows aresident totransfer abroad annually forportfolio investment uptoLm5,000.
Amounts inexcess ofLm5,000 aresubject toexchange control permission.
4. Residents mayborrow from overseas without theneed toobtain exchange control approval iftheborrowing isforaperiod exceeding three years. Such
borrowings have however toberegistered withtheCentral Bank.S/FIN/W/12/Add.55
Page3Modes ofsupply: 1) Cross-border supply 2) Consumption abroad 3) Commercial presence 4) Presence ofnatural persons
Sector orSub-sector Limitations onMarket Access Limitations onNational Treatment Additional
Commitments
A.Insurance Services
a)Life, accident and
Health insurance
services
b)Non-life insurance
services including fire,
marine, transport and
aviation, motor vehicle1) Nolimitation onmarine, aviation and
transport insurance andreinsurance.
2) None
3) May bemade subject toeconomic needs
test.
4) Unbound, except asindicated in
horizontal section.1) None
2) None
3) None
4) Unbound, except asindicated in
horizontal section.
c)Reinsurance and
retrocession
d)Services auxiliary to
insurance including
brokerage andagency
services1) Unbound except forbrokerage
2) Unbound
3) May bemade subject toeconomic needs
test.
4) Unbound, except asindicated in
horizontal section.1) Unbound
2) Unbound
3) None
4) Unbound, except asindicated in
horizontal section.S/FIN/W/12/Add.55
Page4Modes ofsupply: 1) Cross-border supply 2) Consumption abroad 3) Commercial presence 4) Presence ofnatural persons
Sector orSub-sector Limitations onMarket Access Limitations onNational Treatment Additional
Commitments
B. Banking andother financial
services (excluding
insurance)
a)Acceptance ofdeposits
andother repayable
funds from thepublic
b)Lending ofalltypes,
including, inter alia,
consumer credit,
mortgage credit,
factoring andfinancing
ofcommercial
transactions1) None
2) None
3) Foreign-owned credit andother financial
institutions mayoperate either intheform
ofabranch oralocal subsidiary.
Authorization maybemade subject to
economic needs test.
4) Unbound, except asindicated in
horizontal section.1) None
2) None
3) None
4) Unbound, except asindicated in
horizontal section.
1. Provision andtransfer of
financial information, and
financial dataprocessing
related software by
providers ofother financial
services.1) Unbound, except fortheprovision of
financial information byinternational
providers.
2) Unbound, except fortheprovision of
financial information byinternational
providers.
3) Unbound
4) Unbound, except asindicated in
horizontal section.1) Unbound, except fortheprovision of
financial information byinternational
providers.
2) Unbound, except fortheprovision of
financial information byinternational
providers.
3) None
4) Unbound, except asindicated in
horizontal section.