Israeli governor reflects on response to Covid-19

David Vaaknin

Governor Amir Yaron has reflected on the extraordinary measures the Bank of Israel carried out earlier this year to contain the Covid-19 crisis.

In a speech on June 14, Yaron stressed the institution’s two major functions were “ensuring that the financial markets are operating properly, and easing the terms of credit in the economy”. 

In response to an acute liquidity shortage, the institution went beyond the policy rate tool, already at record lows of 0.1%, and approved government bond

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