Regulatory Alerts2024-01-01
Circular No. 62/2024: Assessment of the Levels of Electronic Services and Digital Transformation in Banks
The Palestine Monetary Authority (PMA) requires all banks operating in Palestine to submit, within two months, a timeline for product development and addressing the weak usage of electronic services by customers. This directive follows an assessment of electronic service levels and digital transformation up to the end of 2023, based on a questionnaire distributed in February 2024. Banks must focus on developing electronic channels, encouraging customer adoption through incentives, automating internal operations, and enhancing security measures like OTP/PIN and re-evaluating financial limits to mitigate fraud.
Palestine Monetary Authority PALESTINE MONETARY AUTHORITY
Circular No. (62 / 2024)
To all banks operating in Palestine Date: Tuesday, May 07, 2024
Subject: Assessment of the Levels of Electronic Services and Digital Transformation in Banks
Attached are the results of the assessment of the levels of electronic services and digital transformation in banks, based on the electronic services questionnaire distributed to banks in February 2024 to evaluate service levels up to the end of 2023. All banks are requested, within two months from the date of issuance of this circular, to provide the Palestine Monetary Authority with a timeline for product development and addressing the weak usage of electronic services by customers, taking into account the following:
- Developing electronic channels and increasing the number, quality, and digitization of electronic services provided to customers through them, in a way that meets customer needs and expectations.
- Encouraging customers to use electronic channels instead of visiting branches and offices for their banking transactions, including setting incentives for this, especially in governorates and cities with low usage rates.
- Automating and developing internal operations within the bank to enhance internal digital transformation.
- Implementing verification and authentication methods such as (OTP, Pin) and notifying customers via SMS for transactions executed through various electronic channels, and re-evaluating the financial limits defined for electronic services under which verification and authentication methods are applied, in a manner commensurate with the risks and operational events in the bank, to reduce fraud operations faced by customers.
Supervision Group Palestine Monetary Authority