Finance Ministry to Unveil Rescue Package for Exports

YERUSHALAYIM -

Against the backdrop of a weak dollar, Finance Ministry officials are assembling a bundle of measures to support Israeli exports, to be unveiled in the next few days, Globes reports.

Business leaders have been clamoring for stronger intervention by the Bank of Israel to boost the dollar, some speaking of fixing the shekel-dollar exchange rate at NIS 3.80/$.

But the ministry seems to be sidestepping that issue. To begin with, the exchange rate is beyond the domain of the Finance Ministry; formally, it is the responsibility of the Bank of Israel.

In addition, there is little enthusiasm among Finance officials for setting an exchange rate floor, after a thorough study of the subject by ministry director general Yael Andoran.

Business organizations are welcoming the Ministry’s decision to help them, but think that it won’t go far enough. As one official noted with disappointment, they “seemed just more of the same, such as increasing government guarantees for exports.”