Bank of Israel notes decline of over 25% in home loan borrowing over past three months as prices appear to constrain borrowing

Demonstrations initiated by the populist Shor Party headed by US-sanctioned oligarch Ilan Shor, currently in exile in Israel, have rocked the country in recent months

Hours before announcement of agreement, central bank hikes key interest rates by 2%, implements more flexible exchange rate system, as Cairo commits to initiate reforms

Central bank chief says Israel's economy is strong, but suffers from range of challenges, including global slowdown, rising housing prices, and political uncertainty

Consumer price index dipped 0.3% last month, bringing annual inflation rate down to 4.6%; cost of homes up a whopping 17.9% from previous year

Increase to affect range of products, including breakfast cereals and toiletries, starting November 1, but chocolate-coated marshmallow treat singled out for October price increase

Hike comes just over a month after central bank increased key rate to 1.25%, with additional rises expected

Milk prices not allowed to rise again until at least May 2023 under deal; dairy board sought 14% hike, but was negotiated down in talks with treasury, Agriculture Ministry

July increase in consumer price index brings Israel’s yearly inflation rate to 5.2%, while jump in housing costs causes price to go up by 17.8%, the highest in over a decade

Diplomat -- which controls many brands including Starkist, Heinz and Skippy -- promises deal to supermarket chains that will put off increase in prices until October

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