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Last update - 21:09 28/04/2008
Bank of Israel to keep interest rates at lowest point ever through May
By TheMarker
Tags: Bank of Israel 

Bank of Israel Governor Stanley Fischer has decided to leave interest rates at their certain level, the lowest in Israel's history, in response to recent economic forecasts.

The decision to leave the interest rate at 3.25% coincides with a stabilizing of inflation forecasted for the next 12 months.

Inflation over the last years has been at 3.7%, above the level considered stable, but similar to the rate in most of the developed world.
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A global economic slowdown is expected to curb recent hikes in energy and food costs, something that should lower inflation in Israel.

Bank of Israel has issued a statement emphasizing that they will continue to closely follow global and local economic developments and will raise interest rates in the future if market forces demand it
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