Name in original language
מדריך משפטי לעיצוב "ארגזי חול" רגולטוריים
Initiative overview
The Regulatory Sandbox Legal Guide is a legal and policy tool developed to support Israeli regulators in creating structured mechanisms for safe experimentation with innovative technologies. It responds to a critical governance challenge: how to regulate fast-evolving sectors such as artificial intelligence, digital finance, and health innovation within legal systems that are often rigid, outdated, or fragmented. The guide enables regulators to authorize time-bound testing environments in which companies can trial new business models or technologies under supervision, subject to partial regulatory exemptions and risk controls.
Beyond outlining the core principles of a regulatory sandbox — such as eligibility criteria, clear objectives, and institutional accountability — the guide focuses on the legal design of sandbox regimes. It provides structured legislative models that can be embedded in both primary and secondary laws, and includes examples from existing Israeli statutes to support tailored implementation. It stresses the need for legislative clarity and normative certainty, while also enabling proportional regulatory discretion and adaptive oversight.
The guide is designed to promote innovation while protecting the public interest. It establishes a process of learning-based regulation, allowing adjustments grounded in real-world experience. The sandbox model fosters dialogue between regulators and innovators, builds institutional capacity, and helps reduce uncertainty in the face of novel and complex technologies.
Looking ahead, the initiative is expected to expand through the enactment of a cross-sectoral statutory framework, empowering the establishment of dedicated sandboxes via secondary legislation and through other coordinated efforts by an inter-ministerial team promoting regulatory experimentation. Over time, the sandbox model may serve as a stepping stone toward broader innovation-friendly reforms, including adaptive regulation and dynamic oversight mechanisms. The guide reflects an evolving shift in regulatory governance — moving from static rulemaking toward flexible, learning-oriented approaches — and is expected to shape how Israeli regulators engage with uncertainty, technological complexity, and cross-sector innovation.
