I am pleased to present to you the 2025 Annual Report of the Palestine Capital Market Authority (PCMA), which documents the outcomes of an exceptional year by all measures, marked by unprecedented political, security, and economic challenges. In light of the repercussions of the ongoing aggression and the restrictions imposed, this year tested the resilience of our national economy in general, and of the non-banking financial sectors in particular.
Despite the highly complex environment, the economic landscape burdened by pressures, and declining liquidity, we at the PCMA take pride in the high level of resilience and the remarkable ability to withstand and adapt demonstrated by the sectors under our supervision. These sectors have proven their durability and soundness, not only by maintaining their balance, but also by achieving positive results and growth indicators that reflect deep confidence in the foundations of our economy.
In the securities sector, the PCMA was keen to ensure that its efforts were reflected directly in enhancing the attractiveness of the market, developing its trajectory, and strengthening the governance of its companies. The year 2025 witnessed the beginning of a new phase in improving the efficiency of the Palestine Exchange and upgrading its infrastructure. As a result, market capitalization grew by 21%, while the value of traded shares increased by 168%. In parallel, the net profits of listed companies increased, along with a notable rise in the volume of issuances, which grew severalfold compared with the previous year. This serves as an indicator of the ability of these companies to adapt and withstand challenges, supported by a confident strategic outlook among investors. These efforts were accompanied by the strengthening of the legislative and supervisory environment, as the PCMA issued a number of decisions and regulatory instructions aimed at protecting investors’ rights and rectifying the status of unlicensed platforms, in order to ensure market stability and integrity.
As for the insurance sector, which represents a pillar of security and social solidarity, it achieved notable growth of 11% in total insurance premiums, reaching USD 424.7 million, while recording increases in both insurance penetration and insurance density. These indicators reflect the ability of the Palestinian insurance system to withstand challenges, respond effectively, and strike a balance between insurance protection and financial sustainability, even amid a regional and local environment characterized by instability and continued volatility. In parallel, we continued work on the draft of the new insurance law, encouraged the transition toward electronic payment for insurance policies, and developed pricing mechanisms to make them fairer and more flexible in meeting market needs. This sector continues to grow and adapt despite mounting challenges, reaffirming its position as a stable and effective contributor to the Palestinian economic system.
In the financial leasing sector, we continued to prepare the legislative environment to strengthen this vital sector, which supports productivity and investment. The PCMA issued controls regulating the pledging of leased assets to protect lessees’ rights, and worked on laying the foundations for the launch of Sharia-compliant financial leasing products, known as Ijara, which are expected to be introduced at the beginning of 2026. These products aim to meet the needs of a broader segment of Palestinian society and enhance financial inclusion.
As we close the chapter of 2025, with all the hardships and achievements it carried, we look toward the future with unwavering determination. We continue to move forward toward achieving our strategic objectives, namely promoting the use of financial technology and digital transformation, advancing Islamic finance services, and ensuring the sustainability and stability of the financial sectors under our supervision, guided by best practices and international standards.
In conclusion, I extend my sincere thanks and appreciation to all our partners in the public and private sectors, and to the boards of directors and executive management teams of the companies subject to the PCMA’s supervision, for their cooperation and resilience. I also extend special thanks and appreciation to the executive management and all staff members of the PCMA for their dedication and tireless efforts, which formed the cornerstone of overcoming challenges and achieving these accomplishments.
Peace be upon you.
Chairman of the Board of Directors
Ammar Aker
