Bank of Israel lowers benchmark interest to 4 percent in surprise move
This was the second consecutive reduction of this key interest rate in two months. In an earlier survey, a decisive majority of analysts estimated that the bank would not reduce the key interest – 'It's difficult to explain the bank's change of direction'
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Second Reduction in a Row
This was the second consecutive reduction of this key interest rate in two months. In an earlier survey, a decisive majority of analysts estimated that the bank would not reduce the key interest – 'It's difficult to explain the bank's change of direction'
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10:37 PM • January 05 2026 IST
In a surprise move, the Bank of Israel has decided to lower its benchmark interest rate from 4.25 to 4.0 percent on Monday. The bank made its decision on the backdrop of a reduction in inflation and the geopolitical risks facing the world, even though the bank anticipates a speeding up of the economy.
