The Governor of the Palestine Monetary Authority: We aim at harnessing the financial technology to raise the rates of financial inclusion in Palestine

On the occasion of the Arab Financial Inclusion Day

Ramallah and al-Bireh Governorate 27\4\2022

The Governor of the Palestine Monetary Authority (PMA), Dr. Feras Milhem, stressed that the PMA is prioritizing the implementation of the National Financial Inclusion Strategy. In this regard, PMA’s work involves enhancing the access of all of the targeted groups to financing and financial services, especially the electronic financial services, as well as promoting their use of them. It also contributes to enhancing the inclusive and sustainable economic growth and achieving financial stability.

The aforementioned was declared in a statement that the Governor gave on the occasion of the Arab Financial Inclusion Day, which corresponds to April 27 of each year. This occasion is an annual event launched by the Arab Monetary Fund with the aim of enhancing the rates of the financial inclusion to all Arab countries. It takes place this year under the slogan: “The Importance of social responsibility of the financial and banking institutions in promoting financial inclusion.”

 Dr. Feras Milhem pointed out a number of achievements and procedures implemented by the PMA and partner institutions, especially the Capital Market Authority, over the last period to enhance the rates of financial inclusion in Palestine. This was done by strengthening the financial capabilities of all groups of society, developing the infrastructure, systems and regulatory frameworks which includes licensing five e-payment companies, launching a special campaign for promoting the spreading and use of ATM cards at points of sale, including women into the financial sector through signing memoranda of understanding with women development organization and announcing the adoption of a Gender Policy in the lending institutions. It also can be done through enhancing the financial awareness of youth and children by holding several Bank related awareness raising activities to increase their financial culture and knowledge, as well as supporting entrepreneurs and business owners through launching the Regulatory Sandbox to support financial technology innovations and launching “Monshati”, the first electronic platform in Palestine, to promote and develop Small, medium and micro enterprises.

The Governor stated that the PMA is constantly urging banks and financial institutions to implement activities and develop services and products that promote social responsibility. He also mentioned in this regard that the value of banks’ contributions to social responsibility amounted to $4,781,976 in 2021 in several fields. The most important of which are Health, Environment, Development, Education, Relief, Childhood, looking after the individuals with special needs, supporting innovation and youth as well as women empowerment. 

The Governor added “in our 2022 action plan, we were keen to raise awareness of the importance of benefiting from the technological developments by working on improving and enhancing communication and exchange of information through expanding the extent of providing digital financial services. This will be done in a manner that enhances access to financial services at a lower cost and higher efficiency by all groups of society and in line with the Government’s plan towards the digital transformation and the electronic governmental services.  

It is worth mentioning, based on the data and indicators of the financial inclusion in Palestine until the end of 2021, 46% of adults have at least one bank account. 62% of them are males and 29% are females. 10% of these adults also got a financial loan from a bank or a lending institution and 8% of them have an account with e-payment service companies.