Palestine Monetary Authority Governor Inaugurates Palestine Deposit Insurance Corporation Branch in Gaza
In a statement to the media, Dr Jihad Al Wazir highlighted the great significance of the inauguration of the Palestine Deposit Insurance Corporation (PDIC) branch in the Gaza Strip; an immensely important institution for the insurance of citizens’ deposits, particularly those of small depositors, in licensed banks. At the end of last week, Dr Jihad Al Wazir inaugurated the PDIC branch in the Gaza Strip; an event that constitutes a progressive step for the banking system in Palestine and is clearly indicative of the financial stability successfully achieved by PMA.
In his inaugural speech, Dr Al Wazir said that the establishment of the PDIC has been accomplished while all the banks are in sound and good position. Dr Al Wazir pointed out that bank default rate in Palestine is 2.9%; the lowest among banking systems in the Arab World. It can be concluded that, owing to PDIC, banks have achieved greater safety despite the difficult political and economic situations.
The Governor of PMA added that, following the ratification of the Palestine Deposit Insurance Corporation Law last year, the Board of Directors of PDIC held a meeting in which important and crucial decisions were made. The most important decisions concerned firstly setting the percentage of banks’ contributions, and secondly ensuring the coverage of all accounts to a $10,000 limit in all 17 licensed banks; thus covering 93% of all customers’ deposits. These decisions will boost customers’ confidence and favorably reflect on the development of the entire Palestinian banking system as well as on financial stability.
Al Wazir affirmed that establishing PDIC reinforces other projects like the Credit Registry System, the National Payment System, the Bounced Checks System; systems which positioned PMA and the Palestinian banking system among the developed countries, as many local and international institutions attest to.
It is worth mentioning that, in the few days of the visit to the Gaza Strip, Dr Al Wazir’s tour included the inauguration of the Palestinian Banking Institute branch, three bank branches, the signature of three memorandums of understanding with the Presidents of the Al-Azhar University, the Islamic University and the University College of Applied Sciences aimed at the strengthening of cooperation in the fields of training, study, research and exchange knowledge and expertise. Additionally, the launch of activities of the Banking Week was announced in a big ceremony held by the PMA at Al Mathaf Hotel which was attended by banking sector senior figures, researchers and academics.
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