Bank of Israel: No Change
March 26, 2012
Today’s rate decision, like that in February, was to leave the Bank of Israel’s benchmark interest rate at 2.5%. This was the outcome that most analysts were predicting. The rate was at 0.5% prior to August 2009 but raised by 75 bps over the rest of that year, an additional 75 bps in 2010 and four times in 2011 by a total of 125 bps to 3.25%. More recently, cuts of 25 bps each were implemented in September, November and January 2012.
A statement today expresses contentment with inflation and growth and observes lessening global economic strains. Actual CPI inflation of 1.7% and expected inflation lie within targeted parameters, and GDP is projected to expand by 3.1% this year and 3.5% in 2013.
Copyright 2012, Larry Greenberg. All rights reserved. No secondary distribution without express permission.
Tags: Bank of Israel
ShareThis
