Israel’s Most Influential People
From politicians to innovators, take a look at the movers and shakers deciding the future of the country’s nearly 9 million citizens
Bank of Israel
The Bank of Israel was created by the Ministry of Finance in 1948 as the state’s central bank. It is charged with managing the monetary policy of the state and providing economic conditions to promote growth and success, but the government retains control over inflation targets as part of its economic policy.
In order to clearly define the relationship between the Bank of Israel and the government and to ensure the independence of the central bank, the Bank of Israel Law was passed in 1954, officially establishing the Bank of Israel, and the bank’s headquarters was established in Jerusalem.
The Governor of the Bank of Israel has a role in advising the government and in shaping monetary policy in the country. In accordance to Knesset law, the Bank of Israel conducts research by monitoring and analyzing developments in the Israeli economy and submits its results in the Bank of Israel’s Annual Report.
Another important aspect of the Bank of Israel is its role in the foreign currency market. By monitoring and assessing developments in Israel’s foreign currency market, the Bank of Israel conducts the exchange rate policy and publishes the representative exchange rate of the New Israeli Shekel against foreign currencies.
The current Governor of the Bank is internationally renowned economist Stanley Fischer. With Fischer’s guidance, the Bank of Israel helped the Israeli economy overcome the global economic downturn quicker than other Western nations, and his policies are credited with helping the Israeli economy continue to grow.
Analysis Treasury Borrows, Central Bank Invests, Israel Loses
Israel issues overseas debt at an average rate of 3% while the Bank of Israel’s growing forex portfolio earns just 1%
Central Bank Chief: ‘Biggest Price of Three Elections Is the Decisions Being Postponed’
'At a time when the business cycle is healthy, at a time when the economy is running smoothly, and the labor market is tight, we’re not advancing,' says Amir Yaron
Record Number of Mortgages Taken Out in 2019, Bank of Israel Reports
Surge in borrowing to 67.6 billion shekels was due to a government program, which offered lower-priced housing to qualified buyers via a lottery ■ Bankers say trend will continue in 2020
Analysis Choosing Conspiracy Theories Over the Fiscal Facts
Israel’s budget deficit is rising quickly, but rather than accept reality, cabinet ministers attack the messenger
Economy Would Have to Deteriorate Significantly Before a Rate Cut, Bank of Israel Chief Says
Amir Yaron blames speculators for strengthening shekel, sees slower GDP growth in 2020
Bank of Israel Director Picks Veteran Operations Head as Deputy
Andrew Abir, who started in the dealing room three decades ago, has been at the forefront of a strategy to buy foreign currency instead of lowering interest rates in order to tame the shekel
Analysis Bank of Israel Intervention Needs to Be Bold to Halt Shekel Gains
The shekel has gained more than 7% this year against the dollar, making it one of the world’s strongest currencies
Bank of Israel Prefers Forex Buys to Interest Cut for Now, Says Official
With the shekel still going strong, and political uncertainty weighing on forecasters' minds, the central bank bets on new thinking, unpredictability
Income Inequality in Israel Rises for First Time in Seven Years, Figures Show
Israel still has some of the highest rates of inequality among developed countries, and also one of the highest poverty rates
In Historic Move, Bank of Israel May Cut Base Rate to 0.1% on Monday
Reudction would mark an about-face after a rate hike a year ago amid low inflation, mixed signals on the world and local economies, and a strong shekel
Rockets to Have Limited Economic Impact, Say Analysts
In the wake of the fighting, bank branches were closed not only near the Gaza Strip but as far north as Tel Aviv, other than key branches
‘The Gig Economy’: A Euphemism for 19th-century Style Exploitation
‘Freelancers have no protection – neither legally nor socially,’ says lobbyist – and they are on their way to being the majority in the workforce
No Israeli Interest Rate Change Expected Now, but a Cut May Come Next Month
The Bank of Israel is announcing its decision on Monday afternoon
New Israeli Bank, the First Approved in Four Decades, Is All Digital
Leading tech entrepreneurs Marius Nacht and Amon Shashua eye 2021 launch
Israelis Overdraw but Tend to Be Good Credit Risks, Database Shows
CofaceBdi figures show vast majority have an ‘excellent’ or ‘very good’ rating
Top Israeli Officials Warn of Growing Budget Deficit Amid Political Standstill
Bank of Israel governor vows to use all tools at his disposal to head off a slowdown, while senior Finance Ministry official warns of bigger problems for 2020 when the deficit could reach 3.8% and even more after election
Analysis Is Israel About to Join the Negative Interest Rates Club?
The central bank has few tools to cope with economic downturn. Analysts say it may have to explore untested waters
Deflation Raises Prospect That Bank of Israel Will Try to Tamp Down the Mighty Shekel
July consumer price index fell 0.3%, but home prices rose 0.5% amid signs that the market is heating up again
Central Bank Calls for Spending Surge to Boost Flagging Israeli Productivity Growth
Report urges gov’t to undertake wide-ranging program to make up for years of under-investment, calls for end to industrial subsidies
Opinion Israel Faces Political Deadlock – So Why Are the Markets So Strong?
Foreign investors and Israel’s rich aren’t bailing out, they’re bailing in. Why is the shekel strengthening when all the polls predict the end of the Netanyahu era?
Bank of Israel Says One Thing, Markets See Another
Despite governor’s promise last week there would be no interest rate rise, the shekel remains strong
Analysis In Israel, Industry Is a Thing of the Past
Services are the economy's engine, and they don’t need a weak shekel
Anxious About the Strong Shekel, Manufacturers Seek a Tax on Forex Speculation
The proposal comes amid concerns that the Bank of Israel isn’t serious about reversing the currency’s appreciation
Dollar, Euro Touch New Lows Against Shekel, With Pound at 25-year Nadir
Israeli currency’s strength may forestall a rate hike and force the central bank to return to market intervention
Israeli Shekel Is Among the Strongest Currencies in the World, Which Isn’t Necessarily Good News
Exporters are having a harder time keeping their products price-competitive, while travelers to Israel will find prices even higher than usual
Report: Israeli Banks Paying Fat Salaries to More Staff Even as Overall Payrolls Declined
Number of workers earning one million shekels or more grew 18 percent in 2018, Israel central bank says
Power to the Shekel: Israel’s Currency Is One of the World’s Strongest, Again
Annual economic growth topping 3 percent and a low debt-to-GDP ratio of 61 percent can’t help but impress, even if slower global growth is set to take a slight toll in Israel
Stress Test Shows Israeli Banks Could Handle Crisis
Central bank warns of other risks from cyberattacks that need to be examined