Daily Israel Report
12:27
Reported

News Brief

  12/9/2013, Tevet 6, 5774

Stanley Fischer Concerned over Gov't Tax Moves


Former governor Stanley Fischer of the Bank of Israel expressed concern as an economist, Monday, over the cabinet's decision, Sunday, to cancel an increase in income tax. Speaking at the Globes business newspaper's Israel Business Conference, he said that while taxes should be stable, it was more preferable for a budget with a small deficit than stable taxes that contribute to large deficits.

Professor Fischer said the low-interest-rate he and his successor Karnit Flug follow is proper despite the price paid by the housing market, explaining that the housing market was a small portion of the gross domestic product (8-9 percent), compared to exports, which constitute 40 percent. Saying he was advised to wait six months before taking a new post, the 70-year-old Fischer said a decision could be three weeks away.