Banking in Israel

Five main groups dominate most of the banking operations in the country.

The largest among them is Bank Leumi, founded in London in 1902[1] in accordance with Theodor Herzl's vision and initially intended to serve as an economic arm for the young Zionist movement.

Despite continuous attempts by the state to privatize or at least sell a controlling stake, such efforts failed, leading to plans for its privatization through public stock offerings.

[2] Bank Hapoalim, the second oldest bank in the country was founded in 1921 by the central institutions of the Jewish Yishuv at that time - the Zionist Organization and the General Federation of Jewish Workers in Palestine.

The bank has faced difficulties due to wrong business decisions and strained labor relations between management and the workers' committee, but it has recovered from them.

Foreign banks that have closed their operations in Israel include Barclays.