Monday 24 April 2023

#Israel's sovereign wealth fund gets full-time manager | Reuters

Israel's sovereign wealth fund gets full-time manager | Reuters

The Bank of Israel on Monday named Lena Krupalnik, a veteran institutional investment manager, to oversee the country's sovereign wealth fund which was set up in 2014 following the discovery of huge natural gas deposits.

After a four-year delay due to political turmoil and a slower than expected revenue stream, the fund began operating last June once taxes on profits from natural gas and other resources had passed a 1 billion shekel ($273.6 million) required minimum.

It was managed temporarily by the central bank's head of markets.

The fund so far has accumulated 2.3 billion shekels ($629 million), the central bank said. It is forecast to grow to as much as $12 billion in the next decade and ultimately reach around $50 billion.

Israel discovered huge deposits of natural gas in the east Mediterranean a decade ago and major production began in 2013.

The wealth fund, aimed at preventing the Israeli shekel from overheating from the sudden expansion in national wealth, was set up in 2014 and was supposed to begin operating in 2018.

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