Bank of Israel Policy Rate Left at 0.5%

April 27, 2009

After reducing its key rate from 4.25% to 0.50% in eight steps from October to March, Israeli monetary policy is anchored around the purchase of government bonds, and the key short-term rate appears to have hit its effective low.  The Bank of Israel, as expected, did not cut such further today. A statement from the authorities speaks of fading deflationary risks and a less intense recession.

Copyright 2009 Larry Greenberg.  All rights reserved.  No secondary distribution without express permission.


Comments are closed.