The Bank of Israel said Sunday that Israel's economy was recovering from the worldwide recession much more quickly than had been anticipated. The Bank based its projections on economic activity data and comparisons with activity abroad.
With that, Bank Governor Stanley Fischer said, Israel was not out of the woods yet, because it is dependent on markets in countries that are still facing major economic problems – particularly because those countries had instituted expensive bailout rescue programs, which will continue to drag on their economies – and hence their ability to buy products from Israel – in the near term.