Bank of Israel warns of ‘lack of clarity’ in government fiscal policy

Central Banking Newsdesk
06 Aug 2012

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The Bank of Israel today (August 6) published a report on the central bank's discussions prior to the decision to leave interest rates unchanged at 2.25%, in which concerns over the government's fiscal position were aired.

The report said one of the major factors affecting the decision was uncertainty over the state of the real economy, particularly due to a "lack of clarity" in the Israeli government's fiscal plans. In addition, the central bank noted inflation had run at 1% over the previous

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