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The Bank of Israel is working to advance the firm establishment of the financial system as a competitive and advanced system to benefit customers, and is doing so partly through the entry of new participants. Bank of Israel Governor Prof. Amir Yaron, and Supervisor of Banks Daniel Hahiashvili, have notified the controlling owner of Tranzila Ltd. that a permanent acquirer’s license has been issued that will allow the company to settle payment card transactions without limitations. This follows the Banking Supervision Department’s guidance process, in which the company met all of the milestones that were set as part of the temporary license.
In this regard, it should be noted that the Regulation of Payment Services and Payment Initiation Law, 5783–2023, which took effect in early June of this year, sets out that new acquirers will be supervised by the Israel Securities Authority, and that it is that authority that will issue the licenses. With regard to existing acquirers that are not prudential (such as Tranzila), a period of transition to supervision by the Israel Securities Authority was set out, lasting up to 18 months from the time the law takes effect.
Bank of Israel Governor Prof. Amir Yaron said, “We continue to work through a variety of measures to advance the Israeli financial and banking systems and to bring in new participants with new activity. The issuing of a permanent license to Tranzila reflects another step in increasing competition in the field of means of payment and settlement, to benefit small and medium businesses and households. I thank the Banking Supervision Department for the close professional guidance they provided during the process, and the Tranzila management for meeting the milestones for obtaining a permanent acquirer’s license. I wish them success in their continued endeavors.”
Supervisor of Banks Daniel Hahiashvili said, “Granting a permanent license to Transila will enable it to work with all merchants, without limitation, and will help it strengthen competition between the various acquirers to benefit merchants. This is one of many steps that we have advanced together with other partners, in the government and among the other financial regulators, in recent years to increase competition in the financial system. We will provide whatever assistance is necessary so that the company’s transition to supervision by the Israel Securities Authority will be smooth for the company and for its customers.”
Tranzila founder Itzik Nusetzky said, “Obtaining the permanent acquirer’s license is another important stage in the company’s development. It expresses recognition and trust in the company’s capabilities to provide dependable, customer-oriented financial services that rely on human, technological, and financial strength. We are looking forward, developing new areas of operation that will rely on obtaining this license.”
Photos credit: Bank of Israel Office of the Spokesperson and Economic Information
