Revolut has received a conditional licence to establish a bank in Israel, following years of efforts by the central bank to attract the company and increase competition.

The Bank of Israel announced the decision on 10 November, granting a conditional banking licence and a permit to control the proposed lender, Revolut Bank Israel. The approval does not yet allow the new bank to begin serving customers.

Governor Amir Yaron said he travelled to London in late 2022 to meet Revolut’s leadership and persuade the company to enter Israel’s banking market.

He linked the decision to the regulator’s efforts to remove entry barriers and bring additional competitors into the sector, dominated by five major banking groups.

Revolut’s preparations have already passed through separate payments approvals. In August 2024, the Bank of Israel allocated identification code 78 to Revolut Ltd. The code identifies participants and enables them to assign payment account numbers to customers.

Revolut subsequently received a payment services licence from the Israel Securities Authority in July 2025. The latest decision advances its plans to establish a locally regulated bank.

Uri Nathan, formerly head of Bank Leumi’s digital banking business Pepper, will lead the Israeli bank as CEO, with Shmuel Ben Zvi serving as chairman.

Revolut is the third new bank to receive a licence in Israel since December 2019, following One Zero and Esh. However, not all of them completed public launches.

Esh received a similar conditional licence in December 2022, allowing it to complete technology development, testing and operational preparations before beginning banking activities.

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