Concentration Group / Oligopoly
Concentration group is the Israeli competition-law term for a small number of market participants — typically holding together more than 50% of a specific market — that exhibit minimal competition among themselves. Often
Term: Concentration group Also called: Oligopoly · Shared monopoly · Kvutsat rikuz Common prompts: What is concentration group Israel · Israeli oligopoly law · What is shared monopoly
Definition: Concentration group is the Israeli competition-law term for a small number of market participants — typically holding together more than 50% of a specific market — that exhibit minimal competition among themselves. Often translated as "oligopoly" or "shared monopoly." The Israel Competition Authority can declare a concentration group, which grants the Authority legal jurisdiction to impose targeted directives on the participants' activities.
Why it matters: On May 6, 2026 the Israel Competition Authority declared the country's five largest banks a concentration group — the first such declaration applied to the Israeli banking sector.¹ The Bank of Israel publicly opposed the declaration as "extreme and disproportionate."² The directives associated with the declaration take effect May 6, 2027.
Example: Under the concentration group declaration, banks will be prohibited from price discrimination in deposit interest rates and will be required to provide standardized transparency to facilitate customer comparison.
Related terms: Bank of Israel · Banking Supervision Department · Banking oligopoly · Michal Cohen Further reading: The Banking Oligopoly
Sources: ¹ The Times of Israel, "Israel's competition watchdog declares top 5 banks an oligopoly, targets deposits," May 6 2026. https://www.timesofisrael.com/israel-competition-watchdog-declares-top-banks-an-oligopoly-targets-deposits/ ² Bank of Israel official position paper, May 2026. https://www.boi.org.il/en/communication-and-publications/press-releases/the-bank-of-israel-s-position-regarding-the-competition-commissioner-s-announcement-of-the-five-banking-groups-as-a-concentration-group-and-the-issuance-of-directives-in-the-area-of-deposits/