The Bank of Israel announced Monday that it is lowering the country's benchmark interest rate by another quarter of a percentage point, bringing it down to 3.25 percent.
This marks the third consecutive month that Israel's central bank has reduced its key interest rate, which serves as the foundation for other lending rates throughout the economy. The successive cuts signal the bank's ongoing effort to stimulate economic activity.
The prime lending rate, which is derived from the Bank of Israel's benchmark rate, will also decline by a quarter point to 4.75 percent. This reduction is expected to have a ripple effect across consumer and business borrowing costs in the Israeli economy.
