Innovation Is Not Just About Tech, but About Identifying Market Needs, Says Bank of Israel Exec

To increase market competitiveness, the number of players must be increased, said Tzuriel Tamam, the supervisor of credit data sharing at the Bank of Israel. Speaking Monday at a fintech conference held in Tel Aviv by Calcalist, Bank Leumi’s tech banking arm LeumiTech, and accounting firm KPMG, Tamam said that currently, over 30 credit providers are integrated into the Israeli system, a little over half of them non-bank entities. "Our objective is to work out how to use the system for the public," he said.

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While the bank is open to startup collaboration,, it considers innovation to be more than just new technology, Tamam said. Its goal is to identify and anticipate market needs, he said.

"Throughout its financial life, each Israeli household pays hundreds of thousands of shekels in the form of commissions and interests," Tamam said. "Can that be cut and made more efficient? Of course. But to know where to cut and what needs to be more efficient—that’s innovation, and the juncture where a change creates value for consumers is the juncture that could create a new market."