AI Adoption in Malta’s Financial Services Sector ‘in its infancy’
A study conducted by the regulator of financial services, the Malta Financial Services Authority (MFSA) found that adoption of Artificial Intelligence in the sector is “still in its infancy” but as adoption increased, preparedness was essential.
The 2025 survey found that while pockets of activity exist – particularly among credit institutions, financial institutions, and VFASPs/CASPs – most entities are either not using AI or doing so in a limited manner. Only 39% of respondents reported testing or deploying AI in production, typically through a small number of use cases.
The exercise was undertaken by the MFSA in line with an ESMA-led initiative and provides the first system-wide benchmark of AI utilisation in Malta’s financial ecosystem. The MFSA said these insights would help it monitor AI developments, identify emerging risks, and engage with the industry as it adapts to the regulatory and technological changes ahead.
Findings
Looking Ahead
As the EU AI Act is gradually implemented and AI capabilities continue to evolve rapidly, financial entities must strengthen their governance, build internal expertise, and adopt more structured risk management practices.