The Bank of Israel's Monetary Committee has decidedto keep the interest rate unchanged at a quarter of a percent.
The decision reflected low inflation, a strengthening shekel, growth of the economy according to forecasts, positive growth in the United States, low growth in Europe and negative growth in Japan with overall downward forecasts for global growth and trade. Noting that "the outbreak of the coronavirus in China is casting uncertainty regarding future economic activity globally and in Israel," the bank said, "The Bank of Israel’s assessment in this scenario is that no significant macroeconomic impact is expected in Israel." It added that "if strict preventative measures are required in Israel, ...the Monetary Committee has a range of tools to make monetary policy more accommodative."