To Facilitate and Regulate the Acceptance of Cash Deposits into Customer Accounts The PMA Issues New Directives

The PMA has issued new directives to banks aimed at facilitating the acceptance of cash deposits from individual customers for amounts below 5,000 ILS. This measure enables customers to fund their bank accounts, recharge their bank cards, and ensure sufficient balances to cover issued cheques—thereby supporting their ability to use electronic payment methods for transactions in the local market.

The instructions stipulate that banks must accept cash deposits intended for the settlement of citizens’ obligations to the Ministry of Finance and local municipalities. They also emphasize prioritizing the acceptance of cash deposits, as well as the processing of outbound transfers in ILS, for economic sectors responsible for supplying essential goods and services.

In addition, the directives require banks to coordinate with customers to accept deposits made against high-value checks to ensure their clearance. Additionally, banks are permitted to assign a different value date for cash deposits exceeding 5,000 ILS or the equivalent in other currencies.

These directives come as part of the PMA’s broader policy framework aimed at managing cash liquidity within the Palestinian banking system and ensuring operational flexibility in light of ongoing challenges—ultimately contributing to financial stability and safeguarding the interests of banking sector customers.