The Bank of Israel believes that these measures to increase competition between existing entities are not sufficient and therefore we have created a less stringent supervisory environment for nonbank entities, such as the separated credit card companies or companies that will provide large-scale credit against the issue of bonds.
This new category will encourage the activity of these entities, in the recognition that regulation in this case can be less stringent since their activity is not financed by deposits. In other words, the supervision will be riskadjusted. This policy will facilitate the entry of new competitors into the area of credit and acquiring.