Bank of Israel resumes easing, cuts policy rate by 25 bps to 3.75%
It had cut in November and January but paused in its two subsequent decisions due to the conflict with Iran and fears of a spike in supply-driven inflation. The annual inflation rate held at 1.9% in April, well within a 1-3% target.
The Bank of Israel lowered short-term interest rates for the third time in six months on Monday as inflation remained contained despite a war with Iran, while the shekel stands at a three-decade high against the dollar. The central bank, as expected, reduced its benchmark rate to 3.75% from 4%. It had cut in November and January but paused in its two subsequent decisions due to the conflict with Iran and fears of a spike in supply-driven inflation.
The annual inflation rate held at 1.9% in April, well within a 1-3% target. The U.S. and Israel launched airstrikes on Iran on February 28. A ceasefire forged on April 8 has held but remains fragile.
(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)
Google News