Electronic money institution

Published: 31/1/2015 Modified: 27/7/2018
The CNB will grant authorisation to issue electronic money if it assesses, based on the application and the submitted documentation, that all the conditions prescribed by the Electronic Money Act have been met.

An electronic money institution means a legal person established in the Republic of Croatia, which has been authorised by the Croatian National Bank to issue electronic money. An authorisation to issue electronic money may also contain an authorisation to provide one or several payment services that are not linked to the issuance of electronic money.

Legal persons established in the Republic of Croatia have to submit an application to the Croatian National Bank for authorisation to issue electronic money, specifying the payment services they intend to provide and indicating which of these services are not linked to the issuance of electronic money.

The application for authorisation to issue electronic money should be supported by all the required documentation and information as prescribed by Article 17, paragraph (3) of the Electronic Money Act.

The prescribed documentation and information to be provided to the Croatian National Bank for the purpose of issuing authorisation to issue electronic money are specified in Guidelines on the information to be provided for the authorisation of payment institutions and e-money institutions and for the registration of account information service providers under Article 5, paragraph (5) of Directive (EU) 2015/2366.

In addition to the application and the prescribed documentation, the applicants should also submit a completed and signed Obrazac za prikupljanje i obradu osobnih podataka.

Based on the submitted application and information available to it, the Croatian National Bank will issue the authorisation to issue electronic money in an administrative procedure if the conditions prescribed by Article 16 of the Electronic Money Act have been met. Under the provisions of the Electronic Money Act, a legal person may enter the business activity of the issuance of electronic money and the provision of payment services in the register of companies only after the Croatian National Bank has adopted a decision authorising the issuance of electronic money and provision of payment services.

Legal persons may commence issuing electronic money and providing payment services only after these services have been entered as business activities in the register of companies.

Based on a decision authorising the applicant to issue electronic money and entry into a relevant register, an electronic money institution may, under the conditions prescribed by the Electronic Money Act, in the territory of another member state, based on the right of establishment (through a branch with a head office in the host member state) or based on the freedom to provide services (directly) issue electronic money and distribute or redeem electronic money through a distributor but may not issue electronic money. Electronic money institutions may provide payment services in the territory of another member state, based on the right of establishment (through a branch with a head office in the host member state or through an agent with a head office or place of residence in the host member state) or based on the freedom to provide services (directly or through an agent with a head office or place of residence in the host member state). Electronic money institutions intending to issue electronic money and provide payment services in the territory of another member state is obligated to notify the Croatian National Bank thereof in advance.