Israel Credit Rating Downgrade
September 2024Moody's credit rating agency downgraded on September 27, 2024 Israel's credit rating by two notches, from A2 to Baa1 with a negative outlook.
The downgrade is the second downgrade by Moody's since February 2024 and the lowest since 1995 when Moody's started to rate Israel.
The downgrade is mainly due to the ongoing war facing Israel.
Israel Credit Rating Downgrade
August 2024Fitch credit rating agency downgraded on August 12, 2024 Israel's credit rating from A+ to A with a negative outlook.
The decision follows similar downgrades earlier this year by S&P and Moody's resulting from the ongoing geopolitical risks in the area.
The report follows a current 8.1% budget deficit in Israel, higher than the 6.5% deficit forecast.
Israel Credit Rating
May 2024Moody's credit rating agency reconfirmed on May 10, 2024 Israel's A2 credit rating with a negative outlook.
The negative outlook follows concern about the geopolitical risks with Hamas, Hizballa and Iran.
In February 2024 Moody's downgraded Israel's credit rating from A1 to A2.
Israel Credit Rating Downgrade
February 2024Moody's credit rating agency downgraded on February 10, 2024 Israel's credit rating by one notch, from previous A1 to A2.
The agency also downgraded its outlook to Israel's debt from stable to negative.
The downgrade is due to the impact of the ongoing war between Israel and Hamas.
Israel Interest Rate Cut
January 2024The bank of Israel cut on January 1, 2024 the basic interest rate from 4.75% to 4.5%, the first cur since nearly four years.
The Israeli basic interest rate in now 4.5% while the prime interest rate is 6%.
The current cut is contrary to the previous forecasts which expected no change.
Israel Interest Rate Rise
April 2023The bank of Israel raised on April 3, 2023 the basic interest rate by 0.25%, from 4.25% to 4.5%, the 9th rise since April 2022 and the highest interest rate in the last 16 years.
The new prime interest rate for mortgage loans is now 6%.
The rise is aimed to counter the rising inflation in Israel.
Israel Interest Rate Rise
January 2023The bank of Israel raised on January 2, 2023 the basic interest rate by 0.5%, from 3.25% to 3.75%, the 7th rise since April 2022 and the highest interest rate since 2008.
According to outcasts the interest rate will further rise to 4% in 2023.
The rise is aimed to counter the rising inflation in Israel.
The bank of Israel also lowered the growth forecast rate for 2023 to 2,8%, 0.2% lower than the previous forecast.
Israel Interest Rate Rise
April 2022The bank of Israel raised on April 11, 2022 the interest rate by 0.25%, from 0.1% to 0.35%, the first rise since 2018.
The rise is aimed to counter the rising inflation in Israel which exceeds previous outcasts.
According to present estimates the interest rate will reach 1.5% within one year.
Israel Credit Rating
August 2021The credit rating agency Fitch reaffirmed its previous January 2021 +A credit rating for Israel with a stable outlook
.According to Fitch the Israeli economy will grow by 5.1% in 2021 and 5.7% in 2022.
The positive outlook is based on the rapid high-tech growth and the large scale vaccinations policy.
Israel Credit Rating
January 2021The credit rating agency Fitch reaffirmed on January 13, 2021 the A+ credit rating of Israel with a stable outlook.
The decision came in spite of the coronavirus effects on the Israeli economy and the early unexpected elections due in March 2021.
Israel Credit Rating
November 2020The credit rating agency S&P reaffirmed on November 13, 2020 the AA- credit rating of Israel with a stable outlook.
The decision came is spite of the fact that there is no state budget in Israel and the ongoing political instability which may lead to new elections.
Israel Economic Forecast
August 2020The research department of the central Israeli bank published on August 24,2020 its forecast for the Israeli economy.
According to the optimistic forecast the economy in 2020 will shrink by 4.5% but will grow by 6% in 2021.In the pessimistic forecast, if there will be a dramatic worse corona virus crisis, the economy will shrink by 7% in 2020, while the growth in 2021 will reach only 3%.
Israel Interest Rate Cut
April 2020The Israeli central bank cut on April 6,2020 the interest rate by 0.15% to 0.1%, the first interest cut since March 2015.
The central bank expects a negative growth in the second quarter of 2020 due to the corona virus crisis.
Israel Economic Forecast
November 2019The OECD published on November 21, 2019 its forecast for the second half of 2019 .According to the forecast the growth of the Israeli economy in the years 2020 and 2021 will be reduced to 2.9%.
A year ago OECD forecast was 3.3% for 2020.
The growth forecast for Israel is still higher than other members of the OECD, around 1.7%.
Israel GDP Growth
August 2019The Israeli statistics office issued on August 18, 2019 its first estimate for the second quarter of 2019.
The GDP in the first quarter rose by only 1% compared to 4.7% growth in the first quarter of 2019 and 4.2% in the 4th quarter of 2018.
Israel's Budget Deficit
May 2019The ministry of finance reported on May 6, 2019 that the Israeli budget deficit for the 12 months ending in April 2019 was IS 14.1 billion ,rising to 3.8% of the GDP, compared to only IS 1.5 billion in the previous 12 months period.
Israel Credit Rating
February 2019The credit rating agency S&P's changed on February 1, 2019 Israel's already high rating from temporary -AA to permanent -AA rating.
The permanent credit rating will enable Israel to get global loans in a much lower interest rate, directing more money to be invested in infrastructure, health and other government projects.
Israel Interest Rate Rise
November 2018The bank of Israel raised on November 26, 2018 the interest rate from previous 0.1% to 0.25%, the first rise since June 2011.
Most of the Israeli analysts estimated before the rise that the interest rate will remain unchanged.
Israel Credit Rating Upgrade
August 2018The credit rating agency S&P's upgraded on August 3, 2018 Israel's credit rating from the previous seven years rating of A- to the highest ever rating of AA- with a positive forecast.
The new credit rating puts Israel's rating above certain solid economies e.g. Japan and will enable Israel to get new funds from very big worldwide bodies at a lower interest rate.
Israel Economy Update
October 2017The IMF reported on October 16, 2017 its forecast for the economy growth in Israel.
According to the forecast the economy will grow by 3.1% in 2017 and by 3.4% in 2018, compared to the April forecast of growth of 3% in both 2017 and 2018.
Israel Credit Rating Upgrade
November 2016Fitch credit rating agency upgraded on November 11, 2016 Israel's credit rating to A+ with a stable economic outlook.
Following the new upgrade Israel is now ranked A+ by all the major credit rating agencies, including S&P and Moody's.
Israel GDP Rise
August 2015The Israeli statistics office reported on August 16, 2015 that the Israeli economy grew in the second quarter of 2015 by only 0.3% compared to a growth of 2% in the first quarter of 2015 and 6% in the fourth Quarter of 2014.
The slight increase in the GDP reflects an annual decline of 12.5% in exports and a decline of 3.8% in investments in fixed assets.
Israel Minimum Salary Rise
December 2014The Israeli workers union and the board of economic organizations reached on December 3, 2014 an agreement to raise the minimum monthly salary from current IS 4,300 to IS 5,000.
The minimum monthly salary will rise in 3 phases, to IS on 1.4.2015, further to IS 4,825 on 1.8.2016 and IS 5,000 ON 1.1.2017.
Starting 12.1.2017 the minimum salary which is now 47% of the average Israeli monthly salary will rise to a minimum of 52% of the average salary.
Currently the exchange rate is around IS 4 to one USD.
Israel Interest Cut
September 2014The bank of Israel cut on August 25, 2014 the interest rate for September by 0.25%, from the previous 0.5% rate to 0.25%.
The current cut follows a same cut for August resulting in an historic low interest rate in Israel.
Intel's Investment Plan
May 2014Intel Corp reported on April 30, 2014 its plan to invest additional $ 6 billion in enlarging its plant in Kiryat Gat, southern Israel.
Intel has at present four developing centers and two production plants in Israel with an annual production of about $ 1 billion.
The new plan is expected to add about 1,000 new employees.
Intel is expected to get back an investment grant amounting to 6%-8% of its investment and a reduced 5% corporate income tax on its future income.
Israel Credit Rating
March 2014The credit rating agency S&P's reaffirmed on March 28, 2014 Israel's A+ credit rating with a stable outlook.
The agency's rating is based on the improvement of the fiscal frame, a stable economy and constant lowering of the debt to GDP ratio.
S&P's forecasts a 3.2% growth of the economy in 2014 and 3.4% in each of the years 2015-2017.
Israel Interest Rate Down by 0.25%
December 2012The bank of Israel decided on December 24, 2012 to cut its January benchmark interest rate by 0.25% down to 1.75%.
The cut below 2% is the first since September 2010 following concerns of a slowdown in 2013.
Israel GDP Rise
August 2012According to a release by the Israeli statistics office the GDP in the second quarter of 2012 reached 3.2% on annual basis, far above the preliminary estimate of 2.5% growth.
The increase in the second quarter reflects an increase of 10.3% in the export of goods and services.
Israel Hot Real Estate Market
April 2012According to a survey by CNBC based on real estate agents Knights Frank Israel is the third hottest housing market in the last five years with a price growth of 54.5%.
China tops the list with a price growth of 110.9% in the last five years.
Israel's Credit Rating Upgraded
September 2011Standard & Poor's upgraded on September 9 Israel's foreign currency credit rating from the previous A to A+ with a stable outlook.
The upgrade which is the first since November 2011 is based, inter- alia, on future government royalties from sea gas reserves and the assumption that the Israeli budget would not be enlarged due to the recent social protest.
Israel's New Monthly Minimum Salary
June 2011Starting 1.7.2011 the new minimum gross monthly salary for employees aged 18 years or more will rise to IS 4,100, or IS 22 per hour for a total of 186 working hours per month.
Israel's Economic Forecast 2011
March 2011The governor of the bank of Israel Prof. Stanely Fischer presented on March 30 the annual 2010 bank's report.
The estimated GDP for 2011 is 4.5% compared to the previous 3.8% forecast.
The unemployment forecast for the next years is 6.1% for 2011 and 5.9% for 2012 compared to 6.7% in 2009.
Israel's Hot Real Estate Market
October 2010According to the Washington Post Israel is the fastest rising property market on earth.
Based on the trade magazine Global Property Guide Israeli housing prices in the second quarter of 2010 was the 6th fastest in a ranking of 36 countries, while taking into account the two years ending in June 2010 Israel's real estate market was the fastest growing market with 30% rise.
The Israeli finance minister believes the rise, due to over demand against supply, will be solved within two years by taking care of the supply side.
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