Regulatory Alerts2020-01-01
Palestine Monetary Authority Measures to Mitigate the Effects of the Health Crisis
The Palestine Monetary Authority issued Instructions No. (2020/4) to mitigate the economic impact of the COVID-19 health crisis by mandating banks to postpone borrower installments for four to six months, waive electronic banking and ATM fees for six months, and restrict new checkbook issuances. The directive further requires financial institutions to direct credit toward SMEs, startups, and the health sector, maintain full employee salaries, and apply a special classification for affected clients under the returned checks system. Additionally, the PMA will supply necessary overnight liquidity to banks during emergencies, continuously reassess these measures, and encourage borrowers to continue regular payments where financially feasible.
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