Israel raises interest rates

Faced with an economy starting to emerge from recession and stubborn price pressures, Israel’s central bank has raised short-term borrowing costs by a quarter of a point to 0.75 per cent to rein in inflation.

In doing so, the Bank of Israel became the first major central bank to raise interest rates since the global financial crisis prompted a cycle of sharp monetary easing across the world starting nearly a year ago. – (Reuters)