Regulatory Alerts2023-01-01
Instructions No. 11 of 2023 Regarding Banking Accounts and Investment Services for Customers Outside Palestine
The Palestine Monetary Authority issued Instructions No. 11 of 2023 to preserve financial stability and protect depositors' funds by regulating banking accounts and investment services offered outside Palestine. The Instructions prohibit licensed banks from promoting or marketing foreign accounts, funds, commodity and metals trading, margin trading, or other foreign market investment services without prior written approval. Any violation of these provisions subjects the offending party to penalties under Legislative Decree No. 9 of 2010, with all conflicting regulations repealed and full enforcement mandated from the issuance date.
[Palestine Monetary Authority Logo] Palestine Monetary Authority PALESTINE MONETARY AUTHORITY
Instructions No. (11) of 2023 Regarding Banking Accounts and Providing Investment Services to Customers Outside Palestine
Pursuant to the provisions of Legislative Decree No. (9) of 2010 concerning Banks, particularly Articles (43 and 72) thereof, in accordance with the powers delegated to us, and in pursuit of the public interest, we have issued the following Instructions:
Article (1) Objective and Scope of Application
- The provisions of these Instructions aim to preserve financial stability and protect depositors' funds and investments.
- The provisions of these Instructions apply to all banks licensed by the Palestine Monetary Authority to conduct banking business in Palestine.
Article (2) Promotion and Marketing of Banking Services Outside Palestine A bank is prohibited from doing the following:
- Promoting, marketing, or taking any measures aimed at opening banking accounts for citizens outside Palestine.
- Promoting, marketing, or taking any measures aimed at providing investment services, investment funds, commodity trading, metals trading, margin trading, or any other investment services in foreign markets without obtaining prior written approval from the Palestine Monetary Authority.
Article (3) Penalties Any person who violates the provisions of these Instructions shall be penalized in accordance with the provisions of Legislative Decree No. (9) of 2010 concerning Banks.
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[Palestine Monetary Authority Logo] Palestine Monetary Authority PALESTINE MONETARY AUTHORITY
Article (4) Repeal of Conflicting Provisions All provisions conflicting with these Instructions are hereby repealed.
Article (5) Implementation and Enforcement All competent authorities shall, each within their respective jurisdiction, implement the provisions of these Instructions, which shall apply from the date of issuance.
Issued in Ramallah, on date: 12/09/2023 AD.
Dr. Firas Milhem Governor [Signature]
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