Full coverage· Economy· Updated 09:31

Real Estate Developer Slams Bank of Israel Governor Over Interest Rate Decision

Real estate developer David Azulai has criticized Bank of Israel Governor Amir Yaron for maintaining the interest rate at 3.25%, calling it a "political decision" that hinders the market's recovery.

2 newsrooms · 1 language · since 21 Oct, 16:15

Plus

What happened

01Real estate developer David Azulai accused Bank of Israel Governor Amir Yaron of making a political decision on interest rates.
02The Bank of Israel maintained its benchmark interest rate at 3.25%, disappointing the real estate sector.
03Developers argue that high interest rates continue to burden buyers and hinder the real estate market's recovery.
04Governor Yaron noted high construction activity but acknowledged a slight decrease in new construction starts.
05Apartment prices have seen a slight annual decrease of 1.8%, with a 0.6% drop in July-August.
06The Association of Contractors and Builders urged the government to remove barriers and accelerate construction.

While the central bank cited high construction activity and stable transaction volumes, developers argue the decision ignores economic data and burdens buyers and builders. The Association of Contractors and Builders also expressed concern, urging the government to accelerate construction and the Bank of Israel to resume rate cuts.

Translated and summarized by baba from Ice, the latest report. Read Ice’s original