Middle East · GDP rank #28
Israel
IL · ILS @ 0.3460/USD
Israel runs a card-mature, bank-dominated retail payments market with one wholesale rail (ZAHAV, the BOI-operated RTGS, fully on ISO 20022 since November 2025) and one retail-instant rail (MASAV Faster Payments) underneath the consumer-facing Bit (Bank Hapoalim) and Pay (Bank Leumi) wallets. Bit alone holds roughly half of P2P value across ~3.3m active users. The Capital Markets Authority issued the country's first shekel-pegged stablecoin authorisation in 2024 and the Bank of Israel's digital-shekel design work hands a launch recommendation to the Governor at end-2026.
Tab 06
Fraud & security
Headline fraud totals and typology splits, the rollout of EMV chip, tokenisation, 3DS and biometrics, and the controlling data-protection and payments statutes.
Annual fraud losses
ILS · 2024
Loss rate
basis points on transaction value · 2024
CNP share of fraud
% · 2024
Fraud typology
Where losses come from
Card-not-present dominates every developed-market fraud profile — counterfeit and lost/stolen have both been mechanically suppressed by EMV and tokenisation over the last decade.
Share of card fraud
- Card-not-present (e-commerce)71%
- Authorised push payment (Bit / wallet)+32%
- Account takeover+21%
Authentication
What's deployed on cards today
EMV is the floor; tokenisation removes PAN from merchant systems; 3DS covers the CNP flow; biometric auth drives device-level wallet transactions. Adoption gaps between markets are the clearest signal of fraud-regime maturity.
EMV chip penetration
% · 2024
Tokenised transactions
% · 2024
3DS coverage · CNP
% · 2024
Biometric mobile wallet txns
% · 2024
Consumer protection
- Framework
- Banking (Service to Customer) Law 1981; Banking Supervision Department oversight
- Max consumer liability
- ILS 75 for unauthorised card transactions
- Liability rules
- Unauthorised card transaction liability capped at ILS 75 for prompt-reported loss; bank carries residual unless gross negligence proven. APP fraud reimbursement subject to BOI-encouraged voluntary codes; no statutory mandate equivalent to the UK PSR rules.
Source · Bank of Israel
Security standards
- ▌PCI DSS 4.0 mandated by BOI Banking Supervision
- ▌3D Secure 2.0 mandatory on CNP
- ▌Confirmation of Payee (IBAN+name) live on MASAV
- ▌ISO 27001 standard for licensed PSPs
- ▌BOI cybersecurity directive 361 — operational resilience framework