Palestine Obtains Full Membership Status in the International Association of Deposit Insurers (IADI)

12.11.2013, Buenos Aires – Ramallah: Between the 4th and 8th of November 2013, Dr. Jihad Khalil Al-Wazir, Governor of the Palestine Monetary Authority (PMA), participated in the 12th Annual Conference of the International Association of Deposit Insurers (IADI). The conference was held in Buenos Aires- Argentina, in collaboration with the Argentinean SEDESA Organization (SEDESA acts as trustee of the Deposit Guarantee Fund (FGD)) where - the recently established - Palestine Deposit Insurance Corporation (PDIC) has been accepted as a full member of the IADI. During the conference, Dr. Al-Wazir met with Ms. Gail L. Verley, the IADI Secretary General where they’ve exchanged views, means of cooperation and related ideas. Dr. Al-Wazir has also met with a number of ministers from the Deposit Insurance Organizations, and participated in the MENA Regional Council for Deposit Insurance meetings.

By obtaining this membership, Palestine becomes an active member in this international forum. This is consecutively following the recent establishment of the PDIC by the PMA, which shall cover about 93 percent of depositors in the Palestinian banking system during its launching phase. The PDIC is an institution which aims to enhance the confidence of the banking system’s depositors, in addition to maintain its stability. Furthermore, its existence in the Palestinian market will encourage the movement of Savings, thereby promoting economic growth. It is worth mentioning, that two separate funds shall oversee the management of the PDIC finances. One of which, will deal with Palestinian conventional banks, while the other will deal with Islamic banks and shall be managed in accordance with the provisions and rules of the Islamic Shari`a.

The conference, organized under the title "Navigation through the Financial Reform Landscape", addressed several facets such as: changes to the global financial scenarios, the responsiveness of deposit insurance institutions and banking systems to the global financial crisis, in addition to the role of Financial Safety Nets in achieving financial stability. The IADI was founded in 2002; its purpose was to expand the effectiveness of deposit insurance systems through the provision of counseling, supervision and international cooperation. It represents 71 members globally, whereby Palestine has become the 72nd member to join this global institution.

During Dr. Al-Wazir’s visit to Latin America, he met with Mr. Rodrigo Vergara, Governor of the Central Bank of Chile and members of the Board of Directors. This took place during Al-Wazir’s visit to the capital of Chile, between the 29th and the 31st of October 2013, where the two sides exchanged views, and various experiences related to monetary policies implemented in both the Palestinian and the Chilean banking systems. Dr. Al-Wazir briefed the hosts on the developments achieved by the PMA and met with some Chileans bank managers of Palestinian origin. In addition, he met with members of the Bethlehem 2000 project’s board of directors where they discussed the means to support investment in Palestine, and methods to enhance and strengthen the linkage among the Palestinian and Chilean financial sectors. Moreover, He was introduced to Chile's experience in economic development, which proved to be a successful model. Dr. Al-Wazir met with representatives of the Palestinian - Chilean community in the capital Santiago, as well as the following Palestinian businessmen: Mr. Jose Saeed, Mr. Alberto Kassis, Mr. Carlos Masood - former Finance Minister and former Chilean Central Bank Governor. He also met with Jorge Daccarett, the Executive Director of the Chilean International Cooperation Agency (AGCI) operating under the Chilean Ministry of Foreign Affairs. During Dr. Al-Wazir visit to Chile, he held a meeting with the administration of the Chilean Association of Banks and Financial Institutions so as to brainstorm and exchange ideas. He met with representatives of economic institutions, who’ve welcomed efforts to network between the technological incubator in both Palestine and Chile, in order to develop economic relations and exchange experiences in the field of information technology. Dr. Al-Wazir’s visit, and the official meetings which he held, received extensive coverage by the Chilean media.