FinTech Implementation Challenges in the Palestinian Banking Sector

Jamal Hurani (), Mohammed Kayed Abdel-Haq and Emir Camdzic
Additional contact information
Jamal Hurani: Centre for Islamic Finance, The University of Bolton, Bolton BL3 5AB, UK
Mohammed Kayed Abdel-Haq: Centre for Islamic Finance, The University of Bolton, Bolton BL3 5AB, UK
Emir Camdzic: Centre for Islamic Finance, The University of Bolton, Bolton BL3 5AB, UK

IJFS, 2024, vol. 12, issue 4, 1-21

Abstract: This study addresses FinTech implementation challenges in the banking industry in Palestine. This was accomplished by adopting qualitative research methods. Semi-structured interviews were conducted with interviewees from the Palestinian Monetary Authority, banks, and FinTech companies. Thematic analysis was conducted using NVivo 12 software to identify themes in the interview scripts. Research outcomes suggest that FinTech development in Palestine encounters a range of multifaceted challenges, which can be categorised using the TOE (technological, organisational, environmental) framework. On the technological front, issues such as underdeveloped IT and telecommunications infrastructure, restricted mobile frequencies due to Israeli occupation, limited IT expertise, cyber risks, low digital literacy, and minimal FinTech awareness hinder progress. Organizationally, resistance to change, inadequate agility, limited digital skills, and slow Sharia compliance updates in Islamic banking impede innovation. Environmentally, the absence of a dedicated FinTech framework, unclear regulatory guidance, limited market size, and strict AML/CFT regulations create uncertainties for non-bank entities and restrict investment opportunities. Addressing these interconnected barriers requires coordinated efforts across legal, financial, and technological sectors to foster FinTech integration and growth in Palestine.

Keywords: FinTech; TOE framework; IT infrastructure; regulatory challenges; digital literacy; Sharia compliance (search for similar items in EconPapers)
JEL-codes: F2 F3 F41 F42 G1 G2 G3 (search for similar items in EconPapers)
Date: 2024
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://www.mdpi.com/2227-7072/12/4/122/pdf (application/pdf)
https://www.mdpi.com/2227-7072/12/4/122/ (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:gam:jijfss:v:12:y:2024:i:4:p:122-:d:1536413

Access Statistics for this article

IJFS is currently edited by Ms. Hannah Lu

More articles in IJFS from MDPI
Bibliographic data for series maintained by MDPI Indexing Manager ().