Photo Credit: Noam Revkin Fenton / Flash 90
The monetary committee of the Bank of Israel has announced this week its decision to keep the interest rate unchanged at 0.25 percent.
In the year to date, the shekel has strengthened by six percent, increasing in value by 1.2 percent since last month.
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“The appreciation is the main factor delaying the continued increase of the inflation rate toward the midpoint of the target,” the Bank said in its release.
Also noted were stronger new vehicle sales along with solid growth in exports. The labor market remains tight, with employment rates having increased slightly from already record levels, and wages have also continued to rise, led by the business sector.
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