Israel’s central bank is selling $30 billion in foreign reserves after the shekel depreciated to a seven-year low. In addition, the bank will carry out swap operations of 15 billion dollars to maintain the liquidity of the financial system.
Israel’s central bank announced on Monday that it would sell up to $30 billion in reserves to support the national currency, which has fallen sharply since the Hamas invasion over the weekend.
The Israeli Shekel was last down 1.63%. The value of one dollar exceeded 3.90 shekels, which is the lowest rate in the last seven years.
“The bank will work in the market soon to ease the volatility of the shekel exchange rate and provide the necessary liquidity for the smooth functioning of the markets,” the central bank wrote in a statement published on Monday.
“The Central Bank of Israel will continue to monitor events, monitor all markets and, if necessary, act with the tools available to it,” the central bank’s statement said.