The Bank of Israel has decided to keep interest rates unchanged for the seventh consecutive meeting, citing high inflation and weak economic growth due to ongoing military conflicts. The central bank is focused on stabilizing markets and reducing uncertainty amid the war, while also aiming for price stability and supporting economic activity. Analysts expect rates to remain unchanged until mid-2025. Geopolitical uncertainty from the war has impacted economic growth and increased the risk premium for investors. Israel's annual inflation rate stood at 3.5% in October, above the government's target range.