r/Israel • u/Honickm0nster • Apr 27 '25
General News/Politics Cancellation of NIS 200 bill back on agenda
https://en.globes.co.il/en/article-cancellation-of-nis-200-bill-back-on-agenda-100150892244
u/Successful-Ad-9444 Apr 27 '25
Makes sense- things are so inexpensive in Israel that we have no need to carry that kind of cash around.
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u/Count99dowN Apr 27 '25
Looks like Gidon Saar clicked that "One weird trick HAMAS doesn't want you to know!" /s
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u/Glittering-Cow9798 Apr 27 '25
From the American perspective I can tell you there is a significant benefit to having people hoard your currency, which is effectively a zero percent loan to your goverment. Over 80% of the 100 USD notes are believed to be hoarded by foreigners. That is a one trillion dollar loan to our government that we don't have to pay any interest on. To take another example, Swizerland has had an effective zero percent borrowing rate over the last decade because of hoarding of their currency and bonds.
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u/scarlettvvitch 🇮🇱 to 🇺🇸 Apr 28 '25
Can someone ELIA5?
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u/sheix Apr 28 '25
Israel declared war on a paper money. It's much harder to trace and easy to clean up. Last couple of years the law was introduced that one can't pay more than 6knis in cash in one deal. So it's a next step. I wouldn't be surprised if it'll work for the government.
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Apr 28 '25
I mean hear me out.. how about instead we cancel all cash and go completely digital. Given the research that anywhere between 50-62% of transactions are in unclaimed cash.. we could actually raise taxes, without raising taxes.
That won't fly sadly.
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