Israel's foreign exchange reserves keep rising

Israel’s foreign exchange reserves at the end of January 2024 stood at $206.125 billion, up $1.442 billion from their level at the end of December 2023, the Bank of Israel reports. The level of the reserves relative to GDP was 39.8%.

The increase during January was mainly the result of the government’s foreign exchange activities totaling about $2.241 billion, which was partly offset by a revaluation that decreased the reserves by $766 million.

Despite announcing in October at the start of the war a plan to sell up to $30 billion in foreign currency to support the shekel, the Bank of Israel again did not sell any foreign currency in January and has only sold $8.5 billion since the start of the war, most of it in October.

The foreign exchange reserves have risen from $201 billion to $206 billion over the past 12 months and the reserves are approaching the records $213 billion held in December 2021.

Published by Globes, Israel business news - en.globes.co.il - on February 8, 2024.