Bank of Israel again hikes rate by 0.75%

• Author: Globes correspondent
• Published date: 03 October 2022
• Publication title: Globes (Rishon LeZion, Israel)

This is the second successive hawkish 0.75% hike, after the Bank of Israel raised the rate in late August. The Israeli central bank is striving to tackle inflation, which has been running at 4.5% over the past 12 months in Israel, well below the 8% in the US and more than 10% in many European countries, but still worrying

The Bank of Israel said, "The Israeli economy is recording strong economic activity, accompanied by a tight labor market and an increase in the inflation environment. The Committee has therefore decided to continue the process of increasing the interest rate. The pace of raising the interest rate will be determined in accordance with activity data and the development of inflation, in order to continue supporting the attainment of the policy goals."

The...