Revolut closes in on Israeli banking debut

The British fintech has secured a conditional licence to set up a digital bank in Israel, nearly four years after the country’s central bank governor pitched the idea to its executives in London

Fintech giant Revolut is a step closer to offering bank accounts in Israel after the country’s central bank granted it a conditional licence. The move is part of a push to bring more competition to a market dominated by five banking groups.

Bank of Israel governor Amir Yaron said he met Revolut’s leadership in London in late 2022 “with the aim of persuading them to enter the Israeli banking market.” He described the company’s decision to set up a bank in Israel as a vote of confidence in the country’s economy and banking system.

The licence allows Revolut to press ahead with setting up the bank while it completes the regulatory, technical and operational work required before it can take on customers. The company already holds a separate Israeli licence to provide payment services. It has yet to announce when the bank will open or which products it will offer.

Revolut is the third newcomer to receive an Israeli banking licence since December 2019, following roughly four decades without a new bank being established. One Zero began operating in early 2023, while fellow digital challenger Esh has so far served customers by invitation. Bank Hapoalim and Bank Leumi remain the country’s two biggest lenders.

The new bank will be led by two veterans of Bank Leumi. Uri Nathan, who previously ran its digital banking platform Pepper, will be chief executive. Former Leumi chairman Shmuel “Muli” Ben Zvi will chair the bank.

Nathan said Revolut’s aim was to “foster genuine competition within the Israeli banking sector.” The company has yet to say which services it will offer in Israel or when customers will be able to sign up.

Founded in London in 2015, Revolut now serves more than 80 million customers worldwide and has been valued at a reported $115 billion. It launched banking operations in the UK and Mexico in 2026 and secured banking licences in markets including France and Colombia. Its services across its markets include currency exchange, payments, savings and lending.