EMI and PI licenses in Belgium: The foundation of a legal fintech business in Europe
An EMI (Electronic Money Institution) or PI (Payment Institution) license is an official authorization that allows companies to legally provide payment services in Belgium. Such licenses are required for businesses that handle money and payment flows.
A license is needed for:
- money transfers;
- currency exchange and acquiring;
- issuing and maintaining electronic wallets;
- safeguarding client funds;
- crypto exchanges and payment providers.
Under the supervision of the National Bank of Belgium (NBB) and, in some cases, the Financial Services and Markets Authority (FSMA), the regulatory framework ensures that such institutions operate in strict compliance with AML and compliance requirements.
Without proper authorization, businesses cannot operate fully and risk facing serious legal consequences.
An EMI license in Belgium allows a company to issue e-money, manage wallets, and provide additional financial services such as international transfers or cryptocurrency-related solutions (where permitted by law).
A PI license, on the other hand, covers payment processing, transactions, and transfer operations.
Choosing Belgium for your organization ensures stability, access to European markets, and compliance with international standards, making the country an attractive choice for fintech companies and businesses dealing with virtual currencies.
Types of activities under a Belgian payment license
The scope of activities permitted under EMI and PI licenses in Belgium is quite broad. These activities are regulated by the National Bank of Belgium (NBB) to ensure each institution complies with EU directives and local legislation.
Electronic Money Institution (EMI)
- Issue electronic money and hold client funds in safeguarded accounts with a licensed bank.
- Provide digital wallets and prepaid cards for both individual and corporate clients.
- Conduct multi-currency operations, including support for crypto assets where permitted by law.
- Perform international transfers, money remittances, and cross-border payment solutions.
Payment Institution (PI)
- Execute transactions and transfer funds between clients.
- Offer currency exchange and merchant acquiring services.
- Provide international money transfers, fund transfers, and virtual currency support.
- Deliver fintech solutions integrated with banking and compliance systems.
Additional services for EMI and PI
- Conduct AML monitoring and implement KYC procedures for clients.
- Maintain required documentation, accounting, and reporting as required by the regulator.
- Engage with beneficial owners and directors to ensure proper corporate governance.
- Establish internal policy frameworks for financial operations in compliance with EU regulations.
Once licensed, a company is authorized to serve the entire European market, making Belgium a strategic hub for finance, fund management, and innovative fintech solutions.
Regulator and compliance obligations
In Belgium, regulators not only issue authorizations but also continuously monitor the activities of licensed companies to ensure compliance with EU directives and local legislation. Failure to meet these obligations can lead to serious consequences such as fines, license revocation, or operational suspension.
The key obligations of licensed institutions include:
- AML – implementation of anti-money laundering measures;
- KYC – client identification and verification;
- Regular reporting – submission of up-to-date financial and operational data to the regulator;
- Data retention – maintaining secure and comprehensive records of clients and transactions;
- Suspicious transaction monitoring – identifying and notifying the regulator of potential violations.
Thus, holding a license in Belgium means not only having the right to legally provide payment services and manage electronic money, but also the responsibility to maintain strict compliance standards on an ongoing basis.
Advantages of PI and EMI licenses in Belgium
Belgium is recognized within the EU as a reliable, transparent, and business-friendly environment.
Key advantages
- EU passporting rights
After obtaining authorization in Belgium, a licensed institution can provide payment and electronic money services throughout the European Economic Area (EEA) without the need for separate national licenses. - Reputation and regulatory stability
The National Bank of Belgium (NBB) serves as the primary regulator, ensuring strict compliance and AML supervision. This builds strong trust in Belgian-licensed companies among both domestic and international clients. - Access to financial infrastructure
Belgian EMIs and PIs can collaborate with European banks, foreign investors, and fintech providers, opening opportunities for innovation in digital wallets, virtual currencies, and crypto solutions. - Qualified workforce and business environment
Belgium offers a highly skilled financial workforce, including directors, employees, and compliance experts, who help companies meet all regulatory requirements. - Efficient licensing process
While the process requires detailed documentation and strict regulatory compliance, Belgium is known for being faster and more straightforward than some other EU jurisdictions. The overall licensing cost remains competitive.
Why choose Belgium?
- Strong legal and regulatory framework
- Full compliance with EU standards
- Support for international operations and cross-border business
- Opportunities in finance, fund management, and innovative fintech projects
By choosing Belgium as the base for your EMI or PI license, you combine financial reliability with the flexibility to expand across the entire EU market.
PI and EMI license in Belgium compared to other jurisdictions
When choosing a jurisdiction to obtain an EMI or PI license, companies often compare Belgium with Cyprus, Lithuania, and the United Kingdom.
Each country has its own advantages, but Belgium offers several distinctive strengths.
| Jurisdiction | Regulator | Key advantages | Possible challenges |
| Belgium | National Bank of Belgium | Strict EU compliance, direct SEPA access, stable legal framework, competitive costs | Requires detailed documentation and strict AML control |
| Cyprus | Central Bank of Cyprus | Low application fees, fast process, and broad access for foreign investors | Stricter requirements for beneficial ownership and local presence |
| Lithuania | Bank of Lithuania | Popular among fintech and crypto startups, an efficient licensing process | Increasingly tight regulation and enhanced KYC/AML requirements |
| United Kingdom | Financial Conduct Authority (FCA) | Global reputation, innovative fintech environment | No automatic EU passporting rights after Brexit |
Key takeaways
- Belgium vs. Cyprus: Belgium offers a more reliable financial market system within the EU and stricter compliance oversight, while Cyprus attracts companies with lower costs and faster approval timelines.
- Belgium vs. Lithuania: Lithuania is often chosen by companies in the crypto and virtual asset sectors, but Belgium provides a more balanced environment for both traditional and digital payments.
- Belgium vs. United Kingdom: The UK remains a leader in financing and fund innovation, but the loss of EU passporting rights makes Belgium more attractive for cross-border operations.
Why Belgium stands out
- Harmonized EU regulations and legislation.
- Advanced banking and financial infrastructure.
- Trust from international investors and clients.
- Opportunities in electronic money, transactions, money transfers, and digital wallets.
Belgium successfully combines trust, strong regulatory oversight, and access to the EU market, making it an excellent choice for companies aiming for sustainable growth.
Requirements for obtaining a Belgian payment license
To obtain an EMI or PI license, a company must strictly comply with EU directives and fall under the supervision of the National Bank of Belgium (the regulatory authority). These requirements ensure that only reliable and well-prepared institutions can operate as licensed entities.
- Corporate structure and governance
- Establish a legal entity in Belgium or a company registered within the EU.
- Appoint qualified directors, compliance officers, and sufficient staff with experience in the banking and financial sector.
- Provide full information about beneficial owners, organizational structure, and decision-making policies.
- Implement internal policies and frameworks for AML, KYC, and anti-money laundering compliance.
- Capital and financial resources
- The minimum share capital depends on whether an EMI or PI license is being requested.
- Ensure client funds are held in segregated bank accounts.
- Demonstrate sustainable financing and submit audited financial statements and annual reports.
- Prepare a comprehensive assessment of business risks and mitigation procedures.
- Documentation and application
- The application package must include a business plan, AML/compliance manuals, IT and cybersecurity policies, and organizational charts.
- Provide evidence of internal monitoring, reporting mechanisms, and the ability to comply with local and EU regulations.
- Register the institution in the official national registry after approval.
- Ongoing compliance
- Maintain accurate accounting and submit regular reports to the regulator.
- Conduct independent audits to confirm compliance with legal requirements.
- Notify the regulator of significant changes in ownership, management, or financial position.
These requirements make Belgium one of the most reliable EU jurisdictions for fintech and international companies providing payment, e-money, and money transfer services.
Process of obtaining PI and EMI licenses in Belgium
The licensing process for EMI or PI is strict but transparent. The regulator carefully reviews each application to ensure that the company meets all legal and financial requirements.
Stage 1. Preliminary assessment (1–2 months)
- Internal analysis of the business model, operations, and compliance with EU regulations.
- Development of internal AML/KYC/anti-money laundering policies.
- Preparation of governance documents, ownership details, and initial reports.
Stage 2. Application preparation (2–3 months)
- Collection of all required documents, including the business plan, risk management framework, and financial statements.
- Appointment of qualified directors, compliance officers, and sufficient staff.
- Confirmation of available capital, client funds, and segregated bank accounts.
Stage 3. Submission to the regulator (1 month)
- Filing the official application with the National Bank of Belgium (NBB).
- Providing a complete report on ownership, AML/monitoring procedures, and risk management systems.
- Proof of compliance with Belgian and EU legislation.
Stage 4. Regulatory review and approval (3–6 months)
- The regulator reviews the application and may request additional documents or clarifications.
- An independent audit and operational review may be required.
- Once all requirements are met, the NBB issues the license, and the institution is entered into the official registry.
Without legal assistance, the process can take significantly longer and carries a higher risk of rejection, delays, or additional scrutiny.
Prifinance provides full end-to-end support for the licensing process, minimizing risks and reducing approval time so your company can legally operate payment and e-money services across Europe.
Taxation of licensed companies in Belgium
Operating as an EMI or PI-licensed company entails specific tax obligations and financial reporting requirements. The Belgian system combines EU-level standards with competitive national regulations.
Corporate Income Tax
- Standard corporate income tax rate: 25%.
- Tax deductions are available for financing, R&D, and innovation-related funds.
- Exemptions may apply to certain capital gains on qualifying shareholdings.
VAT (Value Added Tax)
- Standard VAT rate: 21%.
- Some payment services, such as money remittance, currency exchange, and money transfer, may be exempt from VAT.
- Licensed entities must maintain proper documentation and submit regular reports to the regulator.
Withholding taxes
- Dividends paid to foreign investors may be subject to withholding tax; however, Belgium’s double taxation treaties often reduce this burden.
- Cross-border operations and fund transfers are supported by Belgium’s extensive network of tax treaties.
Compliance and reporting
- Licensed institutions must prepare annual documentation, audited financial statements, and compliance reports.
- Independent audits ensure adherence to AML/KYC and anti-money laundering standards.
- Proper internal policies, continuous monitoring, and risk assessment are essential for maintaining tax transparency.
Advantages of Belgium’s tax regime
- Predictable and EU-aligned legislation.
- Investment-friendly environment supporting international operations.
- Incentives for fintech providers, crypto initiatives, virtual tokens, and digital wallets.
- Access to robust banking infrastructure and clients across Europe.
Tax obligations vary depending on the company’s structure and regional presence. Prifinance provides expert consultation on lawful tax optimization and helps clients choose structures that minimize fiscal and operational risks.
Timeframes and costs of Belgian PI and EMI licenses
On average, the process takes 6–12 months (depending on the jurisdiction, completeness of documents, and business model).
The cost consists of government fees, legal services, notarial expenses, translations, and banking commissions. The exact estimate is calculated individually.
We assess the project, select the optimal jurisdiction and a set of banking partners, prepare a transparent estimate, and offer options to reduce costs without compromising the quality of the process.
Our experts
The specialists at Prifinance accompany your project from the initial assessment to license acquisition and market entry: document preparation, AML/KYC implementation, and communication with regulators and banks.
This comprehensive approach reduces the risk of rejection and speeds up the time to market. We handle the complex steps so you can focus on your product.
Nikolai Timofejev Expert with 15 years of experience in FinTech, payments, and business strategy.
Oleksii Kindratenko Expert in company registration, financial licenses, AML and tax consulting.
Eugeniu Bevziuc International business consultant with experience in company setup, remote work, and multilingual communication.
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