Instructions No. (2) of 2023 Concerning the Issuance of QR Codes

[Logo of the Palestine Monetary Authority] Palestine Monetary Authority PALESTINE MONETARY AUTHORITY

Instructions No. (2) of 2023 Concerning the Issuance of QR Codes

Pursuant to the provisions of Decision-Law No. (41) of 2022 concerning National Payments, particularly Articles (7) and (18) thereof, and based on what was approved by the Board of Directors of the Palestine Monetary Authority in its meeting No. (262) dated 2023/06/14, and in accordance with the powers delegated to us, and in pursuit of the public interest, we have issued the following Instructions:

Article (1) Definitions

The words and phrases contained in these Instructions shall have the meanings assigned to them below, unless the context indicates otherwise: QR Code: A technology used to store data visually in two dimensions in an efficient and machine-readable format. Payment Service Provider: All banks and payment service companies. Issuing Member: A payment service provider that issues QR codes to its customers.

Article (2) Objective and Scope of Application

1. The provisions of these Instructions aim to regulate the issuance of QR codes within unified specifications and standards for the purpose of accepting them in electronic payment transactions and the issuance of paper checks.
2. The provisions of these Instructions shall apply to all Issuing Members.

Article (3) Obligations of the Issuing Member

1. The Issuing Member shall comply with the following: a. Providing the necessary environment and infrastructure to issue QR codes automatically and instantly upon request, and maintaining their continuity and availability. b. Adopting specific work procedures for issuing QR codes and providing them to the customer. c. Providing mechanisms to ensure the protection of the data and information of the issued QR codes. d. Taking all necessary measures and precautions to manage the various risks that may arise from the issuance and use of QR codes in electronic payment transactions.
2. The Issuing Member is prohibited from collecting any commissions or fees from customers for issuing QR codes.

Article (4) Unified Technical Specifications and Standards

The Issuing Member shall comply with the unified technical specifications and standards for the issuance of QR codes stipulated in Annex (1) to these Instructions.

Article (5) Types of QR Codes

The Issuing Member shall comply with issuing the following types of QR codes according to the customer's request:

1. Static QR Code.
2. Dynamic QR Code.

Article (6) Use Cases

1. A payment service provider that offers its customers the services listed below shall provide them with the ability to use QR codes, provided that compliance with the technical specifications stipulated in Annex (2) is maintained: a. Electronic payment or transfer. b. Cash withdrawal. c. Cash deposit. d. Issuance of paper checks.
2. The Issuing Member may use QR codes in cases other than those listed in paragraph (1) of this Article, subject to obtaining prior approval from the Palestine Monetary Authority.

Article (7) Exceptions

The provisions of these Instructions shall not apply to all check papers containing QR codes issued by banks prior to the effective date of these Instructions.

Article (8) Implementation and Enforcement

All competent authorities shall implement the provisions of these Instructions within their respective jurisdictions, and they shall be applied within (60) sixty days from the date of their issuance.

Issued in Ramallah on 21/06/2023

Dr. Firas Malham Governor [Signature]

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