Economic Statistics Show Eight Percent Rise in Israeli Exports

The export of goods from Israel has risen by nearly eight percent since the beginning of the year, according to figures released by the Central Bureau of Statistics. The Bureau’s report also stated that exports during July were 24 percent greater than in the same month last year.

The report showed that the greatest increase in exports was in the fields of defense and high technology. There has also been a substantial increase of exports to the United States since the beginning of 1985. The weakening of the dollar has made Israeli exports to Europe for more competitive, the report also indicated.

Finance Minister Yitzhak Modai, in an interview with Kol Israel, said that the country’s balance of payments deficit was also improved by a record year of tourism and a 30 percent decrease in the number of Israelis going abroad this July as compared with last year.

BANK WILL SOON LOWER INTEREST RATES

Modai said the government would loosen controls on the prices of certain products or groups of goods later this month or in September. This measure would be followed with an easing of the tax burden later this year.

Interest rates charged the public by banks were scheduled to go down next week, he said. The Bank of Israel has also issued regulations lowering the commercial banks’ interest on credit by three to four percent. This is the second drop in interest rates since the economic austerity plan was announced July 1.

Modai acknowledged, however, that the main challenge at present was implementing the mass dismissals of employes in the public sector. He, Premier Shimon Peres, and Histadrut Secretary-General Yisrael Kessar were scheduled to meet tonight in Tel Aviv to discuss how this process could be speeded up.