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Article: Central bank threatens to raise interest rates

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Jerusalem Post
Article date:
May 9, 2002
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Headline: Central bank threatens to raise interest rates Byline: TAL MUSCAL Edition; Daily Section: Economics Page: 12

Thursday, May 9, 2002 -- Bank of Israel Governor David Klein yesterday attacked the Finance Ministry for submitting the Bank of Israel Law amendments to the Knesset, claiming approval of the bill would lead to an interest rate hike.

"The changes to the Bank of Israel Law will bring back inflation, will cause a withdrawal from foreign currency liberalization, and will shake up the markets and financial institutions," Klein told the annual gathering of the Israeli Economic Assoc-iation.

"All of this will necessitate an increase in short- ...

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