Effective exchange rates

The nominal effective exchange rate: The geometric mean of the exchange rate of the shekel against 28 currencies, representing 38 of Israel's main trading partners, weighted by the volume of Israel's trade with those countries.

The real effective exchange rate: The geometric mean of the exchange rate of the shekel against 28 currencies, representing 38 of Israel's main trading partners, weighted by the volume of Israel's trade with those countries, adjusted by the differences between inflation in Israel and in those countries. 

A detailed explanation is presented, in Hebrew, in a paper dated June 2005 entitled "Measuring the Real Exchange rate in Israel, and its Effect on Imports and Exports".
For the effective exchange rate series, indices and rates of change, click here

Clarifications
1. The exchange rate: With regard to currencies for which the Bank of Israel publishes a representative exchange rate, the rate used is the representative rate. With regard to other currencies for which no representative exchange rate is published, the exchange rate used is the rate in the international markets close to the time when the representative exchange rates are determined.
 
2. The nominal effective exchange rate is published only on days when the Bank of Israel publishes representative exchange rates.

3. On 1 January 2009 the weights relating to trade with Israel's trading partners were updated. The table below shows the old weights (used until 31 December 2008) and the new ones (used from 1 January 2009).

4. Until 1 May 2009 the exchange rates in the international markets were used, except for the dollar, for which the representative rate was used. Thereafter the representative rate was used for all currencies for which the Bank of Israel publishes a representative rate. The change introduced in May included a retroactive adjustment of the series. 

  Currency
(ISO code)
New weight
(from 1 Jan 2009) (percent)
Old weight
(until 31 Dec 2008) (percent)
USA USD 24.79 24.04
Germany EUR 8.11 9.89
UK GBP 5.20 6.75
Italy EUR 4.95 5.66
Japan JPY 3.53 5.42
Netherlands EUR 5.39 5.19
France EUR 3.93 5.10
Belgium EUR 3.56 3.31
Canada CAD 1.46 3.02
China CNY 5.65 2.64
Spain EUR 2.68 2.46
South Korea KRW 2.51 2.39
Switzerland CHF 3.22 2.32
Hong Kong HKD 1.74 2.19
Taiwan TWD 1.99 2.04
Turkey TRY 3.87 1.93
Mexico MXN 0.50 1.50
Singapore SGD 1.32 1.49
Ireland EUR 0.82 1.43
Sweden SEK 1.00 1.39
Malaysia MYR 0.00 1.18
South Africa ZAR 0.45 0.98
Russia RUB 1.41 0.92
Brazil BRL 1.24 0.89
Finland EUR 0.72 0.88
India INR 1.73 0.87
Australia AUD 0.83 0.80
Thailand THB 0.68 0.80
Denmark DKK 0.47 0.63
The Philippines PHP 0.40 0.60
Greece EUR 0.85 0.59
Poland PLN 0.50 0.43
Cyprus EUR 0.99 0.28
Colombia COP 1.09 0.00
Hungary HUF 0.57 0.00
Austria EUR 0.55 0.00
Romania RON 0.47 0.00
Ukraine UAH 0.44 0.00
Argentina ARS 0.39 0.00
Total   100.00 100.00
0.25%
Interest Rate Releases and Discussions
Inflation over the past year September, 2013 to September, 2014%-0.3
Inflation target %3 - %1

Representative Exchange Rates

Latest Update: 31/10/2014
Currency (Unit) Rate Daily Change
Dollar 3.7840 0.185%
Pound 6.0475 0.167%
100 Yen 3.3940 -1.959%
Euro 4.7562 0.057%
Nominal Effective Rate 0.065%
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