Conditions for providing financial services including
loans and currency exchange.
New Israeli legislation regulating the non-institutional
financial services sector in Israel (the Financial Services
Supervision (Regulated Financial Services), 5776 – 2016 Law,
the "Law") was adopted by the Israeli
legislature in July 2016. The law imposes a new licensing regime,
by authorising the Ministry of Finance (principally through the
Capital Market, Insurance, and Savings Commissioner) to issue
licences to individuals or companies that wish to provide either
(i) financial asset services (including currency exchange and
certain virtual or pre-paid currencies commonly used in the Fin
Tech sector) or (ii) provision of credit, defined in a broad
manner, as "providing credit by way of
occupation". In this bulletin, we examine to whom the law
applies and what types of lending it will affect.
