Despite the challenges imposed by the genocidal war on our people in the Gaza Strip, and the policy of destruction, killing, abuse, and military closures imposed by the oppressive Israeli occupation on the West Bank, as well as the political and economic repercussions that followed and continue to affect all sectors, including commercial, industrial, and others, the PCMA was able to move forward in implementing some of the programs assigned to it in the financial inclusion plan. This was done while taking into account that the financial sector, both banking and non-banking, has borne a significant share of the repercussions and effects of the genocidal war and mass killing practiced against the Palestinian people, as witnessed at the end of last year and continuing to this day. This, without doubt, had a direct impact on the implementation of the national financial inclusion strategy plan and on executing the activities and programs that were scheduled to be carried out during the war period. Many projects, programs, and activities that were supposed to be implemented during the past period stopped working, and any projects or plans related to the strategy and new plan programs were frozen. Furthermore, the restrictions imposed by the oppressive Israeli occupation on the movement of individuals within Palestine, and the prevention of travel between governorates, had the greatest impact by preventing citizens from accessing and using financial services and products, and affected the protection of consumer rights under these circumstances, in addition to the ongoing clearing crises. Despite the uncertainty of the future outlook, and considering that the war has not yet ended, work is underway to assess the current situation and attempt to identify the repercussions caused by the war for the purpose of taking corrective and constructive steps in the field of financial inclusion, within the difficult circumstances being experienced, and in coordination with partner institutions supporting the national financial inclusion strategy. Below are the most prominent developments in advancing financial inclusion during 2024:
· Monitoring the Implementation of the Executive Plan for the National Financial Inclusion Strategy
Despite the direct impact of the aggression on various sectors in Palestine, the halt of many activities, and its direct and indirect effect on the financial sector, the PCMA achieved some progress in implementing the programs of the executive plan for financial inclusion. As part of its efforts to promote financial technology, which in turn enhances financial inclusion rates in Palestine, the PCMA worked on developing the innovation platform “Ebtaker,” which is dedicated to receiving innovations related to financial technology in the non-banking financial sector and providing regulatory guidance. This encourages financial innovations in the non-banking financial sector to become more attractive and easier to access and engage with for innovators at both the international and regional levels, in both Arabic and English. The platform also includes new sections that track the progress of submitted ideas, contributing to the implementation of financial inclusion goals in Palestine by supporting the optimal use of technology to expand the reach and use of formal financial services. In line with implementing executive plan programs related to raising financial literacy and enhancing financial awareness among community groups, especially youth, the PCMA launched a university course titled “Financial Literacy.” The course aims to integrate financial information into Palestinian universities in a modern way, keeping pace with developments in the banking and non-banking financial sectors, aligned with the Palestinian context. It helps raise the financial literacy and capabilities of youth, contributing to creating a financially aware and educated generation capable of effectively and positively engaging with the financial sector, relying on itself armed with a culture of work and self-reliance, and able to take personal financial responsibility when making important financial decisions. This contributes to achieving financial inclusion among this group.
· Holding a Meeting of the National Financial Inclusion Committee Chairmanship
The Chairmanship of the National Financial Inclusion Committee held a meeting during the second quarter of 2024 to review the most important developments regarding the progress of implementing the National Financial Inclusion Strategy and related updates. The meeting discussed the negative impacts caused by the brutal war on the progress of the plan’s implementation, in addition to the efforts of both the PCMA and the Monetary Authority to continue executing whatever programs related to enhancing financial inclusion are possible under these difficult circumstances.
The discussion also covered financial inclusion indicators and emphasized the necessity of holding the ninth meeting of the National Committee to review the latest developments and repercussions on the National Financial Inclusion Strategy, as well as the mechanisms to complete the implementation of the financial inclusion plan. The Chairmanship of the Technical Committee was tasked with preparing a progress report, including the efforts of all partner institutions, to be discussed at the upcoming National Committee meeting. This aims to obtain the Committee’s guidance regarding the assessment of the war’s impact, the effect on the financial inclusion programs outlined in the plan, and the implications for the National Financial Inclusion Strategy. Additionally, it includes evaluating the progress of all activities listed in the executive plan, studying their effectiveness, and reviewing priorities in light of the ongoing war, all in coordination with the strategy’s partners.
One of the key topics discussed during the meeting was the necessity of conducting an assessment of the impact of the aggression on the National Financial Inclusion Strategy after the end of the war, and proposing a reordering of priorities in response to the current situation, in coordination with all partners. The Chairmanship of the National Committee emphasized promptly obtaining feedback from the strategy partners regarding programs, activities, and proposals, each within their respective areas.
· Increasing Financial Awareness and Financial Capabilities among Different Segments of Society
Despite all the current circumstances the country is going through, the PCMA adopted the priorities of the 2024 financial inclusion work plan, foremost of which is enhancing financial awareness and culture among different segments of society, especially youth and women. In this regard, the Palestine Capital Market Authority, in cooperation with partners, launched a university course titled “Financial Literacy,” aiming to raise the level of financial knowledge among university students. This reflects the belief that Palestinian universities are the main source for building Palestinian competencies and supplying the labor markets. This initiative is part of the activity related to developing academic courses targeting the raising of financial awareness and culture among specific groups in society, particularly youth, and it has been included as an elective course in several Palestinian universities for students of various faculties.
· Holding the Ninth Meeting of the National Financial Inclusion Committee
The ninth meeting of the National Financial Inclusion Committee was held at the beginning of the first quarter of 2024 to review the achievement report of the National Financial Inclusion Strategy for the period from July 2023 to June 2024, which includes the progress report on the implementation of the financial inclusion work plan. The meeting also aimed to review the latest developments regarding the implementation of the executive plan for the National Financial Inclusion Strategy 2023-2025, the repercussions caused by the war, and the resulting negative effects that hinder the implementation of the financial inclusion strategy programs and their executive plan.
The meeting included discussions on many important issues related to enhancing financial inclusion in Palestine and the impact on the plan’s programs, some of which have been halted due to the prevailing conditions. Among the most significant points was the necessity of concerted efforts to ensure the continued provision of banking and non-banking financial services to citizens during these difficult times and under the prevailing political and economic circumstances.
· Activating the Tripartite Plan between the PCMA, the Palestine Monetary Authority and the Ministry of Education
Coinciding with the return of schools to in-person attendance, the Ministry of Education worked on activating the tripartite plan between the PCMA, the Palestine Monetary Authority, and the Ministry of Education. This came after the plan had been halted and discontinued since the beginning of the previous academic year, which coincided with the start of the brutal aggression on the Gaza Strip.
It is worth mentioning that the tripartite plan targets one of the most important segments of financial inclusion, namely children and youth, taking into account the student population in public schools (approximately 879,000 students), in addition to the staff of teachers and supervisors (about 51,000 teachers) and Ministry employees and directorates across the governorates. The importance of completing the implementation of the tripartite plan between the Ministry, the PCMA, and the Palestine Monetary Authority lies in building on previous efforts in this context, especially with the return to in-person schooling and the near regularity of the educational process. The tripartite plan was discussed among the three parties, and implementation priorities were evaluated according to the current situation and the Ministry of Education’s priorities and vision in this field.
