The Governor of the Bank of Israel, Prof. Amir Yaron, reiterated in an event yesterday (Monday) at the Friends of Bar Ilan Association that for him there is no impediment to increasing the amounts of foreign currency purchases beyond the $ 30 billion line, which was announced two weeks ago as a target for 2021. This is not the first time That, but according to the governor yesterday there is great practical significance. The Governor, interviewed by Shlomo Zohar, presented the economic situation and significant developments in the economy. The dollar traded around NIS 3.28 yesterday.
The governor’s remarks about the lack of restrictions were made against the background of the announcement that the Bank of Israel purchased $ 6.8 billion in January – about a quarter of the target target.
In his remarks, the governor said, among other things, that “$ 30 billion is a very considerable amount. One can think today what would have happened in the foreign exchange market if the current account surplus had been smaller than this amount.” Point, we can also increase the scope of the purchase program, as we announced at the time about increasing the quantitative easing program in government bonds.
The governor said that in light of the macroeconomic data alongside the impressive vaccine progress, “there is room to examine and use the green passport that will be issued to vaccinators after a week of the second vaccine as a tool to help open trade.” Is the only responsible adult who understands the danger of the collapse of exports and high-tech. “Otherwise, it is not clear why the government is silent and is not preparing with an emergency plan to help exporters.”