The Bank of Israel Monetary Committee, headed by Governor Prof. Amir Yaron, has kept the interest rate at 3.25%, after three successive rate cuts in its three most recent meetings in September, July and May. Economists had expected that the rate would remain unchanged. The Bank of Israel noted that annual inflation has fallen to 1.6% in September, slightly below the midpoint of the target range. The Bank of Israel added, "Uncertainty remains high in view of the geopolitical tensions.
