The new governor of the Bank of Israel cut the bank’s key lending rate by 0.4 percent to 10.3 percent. Economists and traders, who had expected a half-point reduction, said the cut announced by David Klein was too little, too late in light of low inflation rates. Israeli markets had widely expected a rate cut because inflation expectations for the year, at less than 2 percent, are well below the government’s 3 percent to 4 percent target.
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.