Israel set a record-low interest rate in response to the U.S.-led global economic slowdown.
Bank of Israel Governor Stanley Fischer surprised analysts Monday by reducing the commercial lending rate half a percentage point, to 3.25, for the second time in two months. Analysts had expected a less dramatic reduction.
The move was seen as a bid to keep Israel’s economic growth vigorous despite a sagging dollar.
Fischer also has spearheaded efforts to curb the shekel’s sudden strength against the U.S. currency — reaching exchange rates not seen in more than a decade — by having the Israeli central bank buy up millions of dollars.
The Archive of the Jewish Telegraphic Agency includes articles published from 1923 to 2008. Archive stories reflect the journalistic standards and practices of the time they were published.
