The International Monetary Fund mission to Israel submitted its initial report for 2016

The International Monetary Fund mission to Israel, led by Mr. Craig Beaumont, submitted a document to Minister of Finance Moshe Kahlon and Bank of Israel Governor Dr. Karnit Flug, summarizing the team’s work on the Israeli economy for 2016.  The IMF is expected to publish the final report on the Israeli economy for 2016 within two months.

 

The original document in English is attached​.

 

Minister of Finance Moshe Kahlon said, “The IMF report put the State of Israel at the forefront of the world’s leading economies.  The report indicates that our economy is growing, strong, stable, and has a low unemployment rate.  In the next few days, the Finance Ministry’s Chief Economist will publish a report indicating that the high growth in the economy has increased disposable income for citizens, and has penetrated to the lower deciles.  The IMF report provides backing for all the reforms we have led in the most recent budget, and notes that they will help to continue economic growth and to reduce concentration.  The report compliments the actions that we have taken in the housing market, including the transfer of all authorities under one roof at the Ministry of Finance.  The economic policy that we are charting—a free and responsible economy with compassion and social sensitivity is proving to be efficient and to bear results.  We are planning to continue along this path—reforms, increasing competition, reducing concentration, and continued reduction of the tax burden imposed on our citizens.”

 

Bank of Israel Governor Dr. Karnit Flug said, “I thank the members of the IMF team for the professional and thorough work that they have done over the past few days.  It is worth noting the team’s support for the Bank of Israel’s management of monetary policy.  The team sets out a number of recommendations, the implementation of which is a necessary condition for achieving inclusive growth and improving productivity in the long term.  It is important that the government adopt these recommendations and act consistently to implement them.”

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