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Latest Updates /  Regulation

January 18, 2026

Bank of Israel Expands “Identification Code” in Payment Systems: Latest Measure to Increase Competition and Open Up the Financial Market

The Bank of Israel recently issued its decision to expand the identification code used by banking corporations and nonbank entities to connect to payment systems from two digits to three digits. While ostensibly only a technical change, in practice it is a significant step that will enable financial entities to hold accounts and transfer funds for customers directly and independently, without relying on existing banks.

January 18, 2026

Israel Securities Authority Proposes Regulatory Relief to Licensees Providing Digital Investment Advice

In January 2026, the Israel Securities Authority (ISA) published a proposed amendment to the “Directive to licensees relating to service provision using technological means.” This directive was designed to align the provisions of the Regulation of Investment Advice, Investment Marketing and Portfolio Management Law, 1995 with the digital age.

January 14, 2026

Israel Securities Authority Clarifies When Advice Law Applies to Foreign Analyses of Israeli Companies

ISA staff confirmed that activities of foreign research firms publishing “sponsored analyses” to investors abroad are not subject to the Israeli Advice Law. This determination provides certainty for foreign entities covering Israeli companies, provided they carry out and distribute the activity exclusively outside Israel.

January 11, 2026

2025 Year-End Review: Increasing Competition in the Israeli Banking Market and Tightening Supervision

In 2025, the Bank of Israel, the Ministry of Finance, and the Israel Securities Authority accelerated measures to significantly increase competition in the banking system. These included regulatory and legislative amendments, some of which are expected to come into effect in 2026.

January 8, 2026

New Bank of Israel Directive: Banks May Restrict Accounts of Sanctioned Israelis

On December 30, 2025, the Supervisor of Banks published Directive 412, aimed at instructing banking corporations on providing services to customers subject to international sanctions.

January 8, 2026

AI Use in the Financial Sector – Final Report of the Regulatory Workgroup

Following an extensive public consultation process, a final report on the use of AI in the financial sector was published last week. The report was prepared by a committee comprising representatives of the Ministry of Justice, the Ministry of Finance, the Competition Authority, the Israel Securities Authority, the Capital Market, Insurance and Savings Authority, and the Bank of Israel.

January 7, 2026

2025 Year-End Review: Financial Regulation and Digital Currencies

2025 will be remembered as the year financial regulation succeeded in catching up with the pace of technological innovation, progressing from regulatory uncertainty to a clear framework encompassing many aspects of financial activity and suited to the modern era.

January 5, 2026

Europe Presents a Comprehensive Digital and AI Reform Proposal: What Does It Mean for Businesses?

The European Commission recently published the Digital Omnibus, aimed at simplifying data regulation within the European Union by amending key legislation governing digital data. In this update, we summarize the proposal’s key aspects.

January 5, 2026

2025 Year-End Review: International Law and Its Impact on the Israeli Business Sector

In 2025, several significant changes took place in the international trade arena that directly impacted Israeli companies operating in global and domestic markets. For Israeli society, 2025 underscored the need to quickly adapt to changing rules, including trade becoming a tool for political and economic leverage.

January 1, 2026

2025 Year-End Review: Privacy Protection and Artificial Intelligence

2025 marked a major regulatory turning point in the fields of artificial intelligence (AI) and privacy protection. In Israel, Amendment 13 to the Privacy Protection Law forced Israeli companies to make significant changes in their routine operations and granted regulatory authorities unprecedented enforcement powers.

December 14, 2025

Israel Securities Authority Regulates Online Advertising: Mutual Funds, Likes, Influencers, and Everything in Between

The Israel Securities Authority published a new staff position recently on the regulation of advertising in digital space (including on social networks), focusing on advertising relating to mutual funds. The staff position seeks to bridge the gap between the law and the dynamic reality in today’s digital age, and focuses on regulating ongoing online activities and activities with external parties.

December 9, 2025

Legal Obligations for Recipients of Israel Innovation Authority Grants

Securing a grant from the Israel Innovation Authority (IIA) is a major vote of confidence and a critical financial boost for any RD company. However, the funding comes with a complex set of legal, regulatory, and financial obligations that startup founders must rigorously adhere to. Failure to comply can result in grant revocation, financial penalties, or the required repayment of funds. In this update, you will find a comprehensive overview of the principal duties and restrictions imposed on IIA grant recipients.

November 27, 2025

How to Spot Sophisticated Online Fraud in the Age of AI

Dr. Avishay Klein, a partner and head of our firm's Privacy, Cyber AI Department, shared with Israel Hayom some key points on the latest online fraud tactics and how to detect them. With the recent surge in online scams and AI tools capable of mimicking brands and generating nearly flawless human-like language, these schemes have become more sophisticated than ever.    

November 23, 2025

Dr. Zvi Gabbay Lectured at 2025 Annual Compliance Conference

Dr. Zvi Gabbay, head of the firm's Regulation Department, was invited to speak at the 2025 Annual Compliance Community Conference, organized by the BDO Finance Academy and MITGATE Compliance Risk Management. Zvi shared insights and current global standards in compliance and financial enforcement.  

November 20, 2025

New Israeli Regulatory Requirement: Proactive Reporting of Suspicious Use of GenAI

The Israeli Money Laundering and Terrorist Financing Prohibition Authority (IMPA) published a document recently to raise awareness of the new challenges abuses of Generative AI and Deepfake pose to the financial sector. The document reviews the potential risks of use of these technologies, presents case studies from Israel and around the world, discusses emerging threats, and provides a list of “red flags” to help identify suspicious activities.

November 20, 2025

Anti-Dumping Levy on Aluminum Profiles from China: Will Israeli Real Estate Prices Continue to Rise?

On October 19, 2025, the Competition Commissioner published her detailed position regarding the proposed anti-dumping levy on imports of aluminum profiles from China. This position expresses strong opposition to the recommendations of the Commissioner of Trade Levies to impose high anti-dumping levies on aluminum imports from China.

November 13, 2025

NGOs and PBCs to Report Donations via Israel Tax Authority’s Digital Reporting System

Starting January 1, 2026, NGOs and PBCs under Section 46 must report all donations through the Israel Tax Authority’s digital system to enhance transparency and prevent fraud. Compliance will be mandatory to maintain Section 46 approval.

November 13, 2025

Amendment 13 to the Israeli Privacy Protection Law: Guidance for Insurance Agents and Agencies

Amendment 13 to the Israeli Privacy Protection Law significantly strengthens the PPA’s enforcement powers, requiring insurance agencies to ensure strict compliance in handling personal and sensitive data. Agencies must implement robust data security, transparency, and control measures to avoid substantial fines and regulatory sanctions.

November 5, 2025

Prof. Amichai Cohen Receives Lerner Prize for International Law

Prof. Amichai Cohen, a special counsel on international law at our firm, has been awarded the Lerner Prize for International Law by the Harry Radzyner Law School at Reichman University. This recognition highlights Prof. Cohen’s significant and influential contributions to the fields of international law and national security.

October 20, 2025

Professional Webinar: Business Operations Under International Sanctions

Barnea Jaffa Lande, in collaboration with the Israel Export Institute, will host a professional webinar on the implications of international sanctions for Israeli companies. Prof. Amichai Cohen, a special counsel at the firm, will review key global sanctions regimes, their impact on corporate activity, current and emerging compliance risks, and effective measures for mitigating exposure in cross-border operations. The webinar will take place on October 30, 2025, at 11:00 AM (IST).

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