Former Bank of Israel Governor Stanley Fischer passed away on Saturday night in the United States after a long battle with a serious illness. Fischer served two terms as Governor of the Bank of Israel from 2005 to 2013, playing a key role in guiding Israel through the 2008 global financial crisis.
Fischer was born in 1943 to a Jewish family in Northern Rhodesia, now Zambia. He earned a doctorate in economics from the Massachusetts Institute of Technology (MIT) and later became a lecturer in economics in the United States. In 1985, he was part of a team of American economic advisors who helped Israel implement its economic stabilization program. From 1988 to 1990, he served as vice president and chief economist of the World Bank. He later held the position of deputy managing director of the International Monetary Fund from 1994 to 2001. In the early 2000s, Fischer was vice chairman of Citigroup, then the world’s largest commercial bank.
In May 2005, Fischer immigrated to Israel and was appointed Governor of the Bank of Israel. He was reappointed for a second term in 2010. During his tenure, Global Finance magazine awarded him the highest rating for central bank governors in both 2010 and 2011.
In 2011, Fischer submitted his candidacy for the position of Chairman of the International Monetary Fund but was disqualified due to the IMF’s age limit of 65 (he was 67 at the time).
Thanks to his global stature and wide network of connections, Fischer not only helped strengthen Israel’s economy but also enhanced its international reputation. He retired in 2013, roughly two years before the end of his second term as Governor of the Bank of Israel. Shortly thereafter, he was appointed by President Barack Obama to serve as Vice Chair of the Federal Reserve.
In early 2013, he announced the conclusion of his tenure as Governor of the Bank of Israel. Shortly before leaving office, Fischer was awarded the Herzog Prize in recognition of his exceptional contribution to the State of Israel.
In January 2014, journalist Dylan Matthews shared a telling anecdote in The Washington Post: Each August, central bankers from around the world—those who shape the global economy—gather in Wyoming’s Grand Teton National Park for a symposium filled with weighty economic discussions and challenging hikes. At one such dinner a few years earlier, Federal Reserve Chairman Ben Bernanke looked around the table at his fellow financial leaders and remarked, “Do you know what everyone at this table has in common?” He paused and added, “They all had Stan Fischer as their thesis adviser.”
It’s fair to say he’s been embraced by the Israelis, Matthews continued, citing Haaretz writer Meirav Arlosoroff who noted that he was a “leader in whom the Israeli public had absolute trust” who “stood amid all the financial and leadership chaos like a fortress of stability, logic, level-headed judgment and international reputation.”
Also, both Prime Minister Benjamin Netanyahu and then Opposition Leader Shelly Yachimovich lavished him with praise. Netanyahu reportedly attempted to keep Fischer in Israel by offering him the finance ministry.
Fischer was married to Rhoda Fischer (née Keet), whom he met during their time in the Habonim youth movement. The couple had three children. After moving to Israel, Rhoda became the honorary president of Aleh Negev, a rehabilitation village for people with disabilities. She passed away in 2020.
