Netanyahu Commits To BoI Independence Amid Concerns Of Gov't Overreach

Prime Minister Benjamin Netanyahu tweets: "Under my leadership, The Bank of Israel law that guarantees the independence of the monetary committee headed by the governor in determining the interest rate was passed. Nothing will change it."

• Yesterday Foreign Minister Eli Cohen sent a tweet criticising the BoI decision to raise interest rates. This in turn raised market concerns about the gov'ts commitment to central bank independence.
• Cohen's tweet in full: "I asked my fellow Finance Minister Bezalel Smotrich to draw up an outline with the Governor of the Bank of Israel to stop interest rate increases. Against the background of the moderation of inflation, there was no justification for raising the interest rate today, which continues the arrogance of the mortgage holders. To all the naysayers who ignore the dire consequences of the interest rate hike: dialogue and agreement between the Treasury and the Bank of Israel is necessary. Forming a common outline will allow for the moderation of the sharp interest rate increases, which are not justified in view of the level of inflation in Israel."
• The concurrent political battle over proposed judicial reforms have raised broader concerns about the role of the gov't and its checks and balances. For more info see: https://marketnews.com/judicial-reforms-set-to-pas...