The Central Bank of Malta has updated its framework for euro-denominated cheques and bank drafts where all parties and servicing institutions are located in Malta. From Jan. 1, 2027, paper-based instruments must be issued for at least EUR 50 and deposited solely into the named payee’s account, ending cash payment of these instruments. Cheque validity will fall from six calendar months to three, while bank drafts will remain valid for six months. For specified instruments deposited through automated teller machines, funds must be available by the end of the next business day, while valid instruments deposited at the drawee institution’s counter must be credited upon presentation. The directive enters into force upon publication, with these revised requirements applying from Jan. 1, 2027.
Central Bank of Malta2026-03-26
Central Bank of Malta tightens cheque and bank draft rules with EUR 50 minimum and mandatory account deposits
The Central Bank of Malta has updated its cheque and bank draft rules, with key changes applying from Jan. 1, 2027. The minimum issuance amount will rise to EUR 50, all instruments must be deposited into the named payee’s account, and cheque validity will fall from six months to three.