Bank of Israel Opens Door for Banks to Dual List Abroad
Globes has learned that the Supervisor of Banks has distributed a draft circular allowing banks to apply American accounting standards. This move facilitates dual listing, aims to increase liquidity, and may boost stock performance.
A special circular from the Supervisor of Banks, distributed this evening to the banking system, may serve as a catalyst for a significant move that could boost bank stocks.
It has come to the attention of Globes that the Bank of Israel is now allowing banks to publish financial statements in accordance with American accounting standards.
This change will enable banks to advance the process of dual listing in the USA.
This move is expected to increase stock liquidity and attract foreign investors, potentially boosting the shares of banks that choose this path. It is worth noting that while bank stocks had been stagnant since the beginning of the year, they led the indices in July with a 10% increase.
A market source explained to Globes: "Israeli banks are currently of interest to American investors. They have made great progress in their management in recent years, and the banking system in Israel, especially during the war, is showing phenomenal results that testify to its enormous potential. The Bank of Israel is taking a very welcome step for the Israeli economy and the banking sector in general, and it will be interesting to see how this develops."
