MFSA Unveils Draft Rulebook To Boost Malta's Aircraft Leasing Sector

The Malta Financial Services Authority (MFSA) has taken a further step towards establishing Malta as a dedicated jurisdiction for aircraft financial leasing, publishing a full draft rulebook for consultation on 24th July 2026, this time accompanied by the full draft "Rules for Notified Aircraft Financial Leasing Companies and Related Due Diligence Service Providers."

The move follows an earlier consultation launched in January, which proposed a notification-based regime as a lighter-touch alternative to full licensing under the Financial Institutions Act for qualifying lessors. The MFSA reported that industry feedback on that first phase was positive, paving the way for this more detailed second stage.

The draft rulebook sets out eligibility criteria for companies seeking to join the MFSA's List of Aircraft Financial Leasing Companies, including Malta incorporation, a Malta-resident director, and an aggregate asset threshold of at least €100 million in liquid form or valued aircraft and engines. Companies must also appoint a due diligence service provider before notifying the regulator, and the MFSA is required to decide on applications within 20 working days.

Once admitted, companies face ongoing obligations spanning governance, AML/CFT compliance, credit risk management, and regular reporting - reflecting the MFSA's effort to keep the framework proportionate while preserving the regulatory substance that international lessees and financiers expect.

Comments on the draft rulebook are due by 31st August 2026, with submissions to be sent directly to the MFSA. If finalised, the framework would give Malta a tailored route to market for aviation lessors, reinforcing its position in a competitive international aviation finance sector.