Fitch sees ‘watered down’ judicial overhaul not having doomsday effect on economy

Despite the weakening Israeli shekel and concerns over proposed changes to the country's judicial system, Fitch Ratings believes that the modifications have been sufficiently diluted to avoid causing long-term damage to Israel's resilient economy. Fitch's decision to affirm Israel's credit rating is based on the expectation that the government will not move towards a hard-rightwing stance and that Israel will continue to attract investment and talent.

timesofisrael.com

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8/21/2023

Fitch, BRICS, Ukraine: Why US Economic And Political Hegemony Is In Long-Term Decline

Fitch's recent downgrade of US government debt reflects concerns over the country's deteriorating fiscal governance standards and the unlikely prospects of serious fiscal reform, signaling a change in perceptions that may have more damaging effects than the 2011 downgrade by S&P; factors such as broken supply chains, rising inflation, and a shift away from the US dollar as a safe haven currency contribute to a potential US slowdown and impact on global economic power.

9/4/2023

Bank of Israel keeps interest rates unchanged, says cycle of jumps may not be over

The Bank of Israel has maintained its benchmark interest rate but warned of potential rate hikes if inflation does not continue to moderate and the shekel weakens further. Despite signs of easing inflation, the central bank highlighted the possibility of higher borrowing costs in the future. The shekel has depreciated by over 8% against the US dollar this year, contributing to higher inflation. The bank sees the economy growing at a rate of 3% in 2023 and 2024 but warns of risks if the proposed judicial overhaul leads to increased risk premium and further devaluation of the shekel.

9/16/2023

Fitch Affirms Malta's A+ Rating But Cautions Fiscal Risks Despite Economic Growth

Fitch has affirmed Malta's A+ credit rating, citing strong economic growth and low unemployment, but expressed concerns about fiscal deficits and high inflation, stating that the country could face a downgrade if these issues worsen.

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Posted 8/21/2023, 9:22:00 PM