Israeli Fintech Firms Partner with CBA
A consortium of Israeli financial technology firms is partnering with Commonwealth Bank of Australia, the largest bank in the country, to co-develop technologies in the sector.
Israel’s Economy Ministry has setup a Multinational Corporations (MNC) program for fintech companies to help push Israeli innovation into the global market. The deal between Israel’s MNC and CBA marks the first major fintech partnership between the two countries.
The agreement is designed to help both parties expand their services offered while also developing new technologies. As part of the partnership, the Chief Scientist’s Office will look for Israeli firms that can provide current services to meet CBA’s needs while also funding any research into new applications for CBA.
The bank will follow suit and help fund any ventures the two engage in, either through investing or by providing equipment or logistical support. CBA will also provide industry access to Israeli fintech firms hoping to learn more about corporate banking.
The partnership is but one of many between Israeli firms. Israel has been a hotbed of innovation in the fintech scene, and with the help of its government, firms from the country hope to expand globally. CBA isn’t the first major financial institution to enter partnerships with Israeli firms. Citi and MasterCard have both entered into agreements with Israeli fintech firms, while UK banking giant Barclays teamed up with the US accelerator Techstars to help provide support to Israeli firms as well.