Business in Brief

200 megabit Internet coming this year, says Bezeq

Bezeq is planning Internet connections of 200 megabits a second by the end of the year. The company wants to start a pilot project to test the high-speed network for consumers this year over its Next Generation Network infrastructure. Bezeq admits the new service will be costly at first. (Inbal Orpaz and Guy Grimland )

Central bank tightens forex derivative reporting rules...

The Bank of Israel is tightening its rules for reporting foreign currency trading, closing a number of loopholes. In January, the central bank required the reporting of forex derivative contracts such as swaps, as well as repo deals and foreign currency options trading. All these allowed traders - and speculators - to bet on foreign currency moves. The new rules impose this requirement on various subsidiaries and related parties as well, a loophole that was used to avoid reporting previously. They will apply to all deals worth over $10 million done on any given day. The new rules will take effect July 1. (Ram Ozeri and Moti Bassok )

	A new Air Tractor in training.
	Photo by: Alon Ron

... as its foreign currency reserves continue to swell

The central bank's foreign currency reserves hit a new high in April, $77.41 billion. This was an increase of 3.2%, or $2.88 billion for the month, the Bank of Israel reported yesterday. The April growth came almost completely from two sources: purchases by the central bank in the open market of $1.49 billion, and a revaluation of its holdings, which added $1.45 billion to the total. In the first four months of 2011, Israel's foreign currency reserves have grown by $6.5 billion, a 9.2% increase. Despite public criticism and the high cost of holding so much foreign currency, the central bank, is still buying dollars. (Moti Bassok and Ram Ozeri )

Passenger: El Al Passover food spoiled her business class flight

El Al has been accused of serving business-class passengers meals from economy class on flights during Passover. A passenger who flew from Hong Kong to Israel on April 19 sent a letter of complaint to CEO Eliezer Shkedi. She said the extremely embarrassed stewards told her the food that was served was the only thing available due to Passover - for both dinner and breakfast. She wrote that she had taken pains to buy a superior product and instead was given an inferior and inappropriate product. El Al said: "The airline keeps kosher all year round and especially makes its planes kosher before the holiday - including serving utensils. Tourist-class food was not served in business class. The food served was for business class, and the meals were served on utensils bought specifically for Passover." (Zohar Blumenkrantz )

New aerial firefighting squadron to become operational next week

The new aerial firefighting squadron established in the wake of the Carmel forest fire completed its final training exercise before officially going operational next week on May 12. The air force's Elad squadron has received seven new Air Tractor AT-802F planes, which cost NIS 70 million in total. For now, the air force is responsible for the squadron, but the pilots and crew are civilians who received special training. Chimnir and Elbit Systems will operate the squadron for the air force - for now. (Zohar Blumenkrantz )