News Brief

(IsraelNN.com) The dollar-shekel rate soared to 3.64 Wednesday morning amid mounting pressure from the business sector that Bank of Israel Governor Prof. Stanley Fischer cut the interest rate in order to weaken the shekel. Exporters have complained that the dollars they receive are worth fewer shekels as the local currency strengthens. The dollar-shekel rate a year ago was 4.20.

The Knesset Finance Committee is to hold a special meeting on Wednesday to discuss the strong shekel and hear demands from union and industry officials that the interest rate be cut. However, they are expected to back Fischer, who has explained that lowering the rate would not necessarily help the value of the dollar. He also has pointed out that exporters still are making profits and that they are paying less for imported goods used in manufacturing.