Breaking Update
Israel Moves Forward with Guarantee Market Reform
Israel's Knesset Economics Committee has approved a legislative amendment to reduce concentration in the guarantee market, aiming to boost competition.
Jerusalem, 10 March, 2026 (TPS-IL) — The Knesset’s Economics Committee approved on Monday the legislative amendment intended to reduce concentration in the Israeli guarantee market provides essential risk mitigation in sectors like construction, energy, and logistics and expand competition in the field, and it will now be forwarded for second and third reading in the Knesset plenum.
The guarantee market provides essential risk mitigation in sectors like construction, energy, and logistics. In Israel is characterized by high concentration, with most activity being carried out through banking corporations.
The scope of the guarantee portfolio in the banking system is estimated at approximately NIS 300 billion, a figure that emphasizes the centrality of the field and its direct impact on financing costs in the economy.
