Governor of the Monetary Authority: Economic Challenges in Palestine Require Innovative Financial Policies to Support Vital Sectors

SadaNews - The esteemed Governor of the Monetary Authority, Mr. Yahya Shanar, participated in the tenth forum on public finance in Arab countries, held as part of the Global Government Summit 2026 in Dubai, under the patronage and presence of His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President of the United Arab Emirates, Prime Minister, and Ruler of Dubai.

The forum was organized in collaboration between the Arab Monetary Fund, the Ministry of Finance of the UAE, and the International Monetary Fund, with the presence of His Excellency Mohammed bin Hadi Al Hussain, UAE Minister of State for Financial Affairs, His Excellency Khaled Balama, UAE Central Bank Governor, and Dr. Fahd bin Mohammed Al-Turki, Director General and Chairman of the Board of the Arab Monetary Fund, along with the participation of representatives from regional financial and banking institutions. The four sessions in the forum were dedicated to discussing the economic outlook for Arab countries amid increasing uncertainty and exploring ways to develop public expenditure policies to support and finance development.

In his speech at the forum, Governor Shanar emphasized that enhancing the resilience and sustainability of public expenditure is essential for supporting development and achieving financial stability in Arab countries, noting that Palestine faces significant economic challenges, especially in the Gaza Strip, which necessitates adopting innovative financial policies to support vital sectors, enhance economic resilience, and ensure the continuity of basic services despite difficult conditions.

On the sidelines of the Global Government Summit 2026, Governor Shanar met with IMF Managing Director Ms. Kristalina Georgieva and Director of the Middle East and Central Asia Department at the IMF Dr. Jihad Azour.

During the meeting, they discussed economic developments, the specific challenges facing the Palestinian economy, and ways to strengthen financial stability and support economic growth and sustainable development, while emphasizing the importance of continued cooperation between international financial institutions and the Palestinian Monetary Authority.

They also focused on developments in the Gaza Strip and the importance of enhancing relief efforts and financial support to mitigate the economic impact on citizens, stressing the need for the Palestinian banking sector to continue providing vital banking services and supporting development and relief efforts.

Governor Shanar also participated in the seventeenth summit of the Islamic Financial Services Board (IFSB), which was held in the Omani capital Muscat under the title "Islamic Finance for the Future: Opening New Horizons with Global Impact," with the participation of Mr. Luai Hawash, Director General of the Palestinian Deposit Insurance Corporation, and several central bank governors and representatives of regulatory bodies and Arab and international financial institutions.

During the summit, developments in the financial sector and the challenges facing banking systems were discussed, in addition to the role of international standards in enhancing financial stability.

In the meetings, Governor Shanar reviewed the reality of the Palestinian banking sector, emphasizing its high degree of stability and resilience despite difficult economic and political conditions, thanks to the supervisory and precautionary policies adopted by the Monetary Authority and the Palestinian banking sector and adherence to governance and risk management standards, which ensure the protection of depositors' funds and the continuity of banking services.

Shanar pointed to the continuous development in the Islamic banking sector in Palestine, affirming that this sector is witnessing organized growth, supported by a regulatory framework consistent with the standards issued by the Islamic Financial Services Board, as well as its transition to electronic payment, which has contributed to diversifying Islamic financial products and enhancing financial inclusion.