Israel

Treasury-central bank rift in Israel

ISRAEL - For the first time in decades, the Prime Minister's Office, the treasury and the Bank of Israel did not jointly publish the national forecast together with the publication of the 2003 budget. The disagreement is testimony to the difficult…

David Klein's mysterious adventure

ARTICLE - Several weeks ago, the premier international rating agency Standard & Poor downgraded the credit ratings of Bank Hapoalim, Bank Leumi, and Bank Discount. This action was driven by concern over the quality of loans these banks have issued. In…

Israel's c bank chief criticizes inadequate budget

ISRAEL - Governor of the Bank of Israel David Klein says financial stability is not yet assured. Speaking before the Israel Democracy Institute's annual Caesarea conference, being held this year in Jerusalem, he said the task of restoring economic…

Update, B of Israel's Monetary Program, 9 June

PRESS RELEASE - The Bank of Israel today announced an update of its monetary program for June 2002, according to which its interest rate will be raised by 1.5 percent to 7.1 percent. The change will go into effect on Tuesday, 11 June 2002. Thus, the…

Flag protest

NETHERLANDS - The wife of the President of the European Central Bank hung a Palestinian flag from a second-floor balcony of their home here in protest against Israel's actions in the West Bank. Wim Duisenberg refused to comment on the stance taken by…

Frenkel accused of claiming funds not due him

ISRAEL - Israel's state audit office said on Monday former Bank of Israel Governor Jacob Frenkel, who stepped down in 2000 after nine years in office, had claimed thousands of dollars not due to him. A spokesman for Frenkel in Tel Aviv dismissed all the…

Israel approves Bill to redefine c bank powers

ISRAEL - Israeli ministers have approved a bill that would redefine the Bank of Israel's powers, but allowed the finance ministry and central bank time to propose changes to the bill to resolve continuing disagreements.

Israeli cabinet OKs diluting cen bank chief power

ISRAEL - Israel's cabinet on Sunday approved sweeping changes to the way interest rates are set but analysts said the plans, which include setting up a monetary council, would weaken the central bank and harm the economy.

Rating agencies criticize c bank reform

ISRAEL - Three leading international credit rating agencies have criticized the Finance Ministry's plans for reining in the independence of the Bank of Israel, but stopped short of saying it would affect the country's credit rating, The Jerusalem Post…

Israel unveils plan to limit central bank powers

ISRAEL - Israel's Finance Ministry unveiled legislation Sunday to rein in the power of the central bank, with a monetary council appointed by the finance minister and a widening of the bank's goals to include growth and employment targets.

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