Bank of Israel Confirms: No Plans to Cancel 200 Shekel Bill

In response to recent public concerns, the Bank of Israel has officially confirmed that it does not plan to cancel the 200 shekel note. "Cancellation of the note is not on the agenda," the central bank stated.

"The authority to cancel notes according to law rests with the governor of the Bank of Israel. Despite raising the issue, the governor was not presented with a sufficiently well-founded professional justification for canceling this or any other note." The statement emphasized that the 200 shekel bill, along with other banknotes and coins, will continue to be used as usual.

This announcement follows heightened public concern, as reported by Calcalist. Fears that the 200 shekel note could be phased out led to a surge in requests to banks and non-banking entities for foreign currency exchanges, deposits, and withdrawals. The demand was so high that some currency exchange services even ran out of U.S. dollar bills.

Origin of Cancellation Rumors

The panic began last week when it was revealed that Prime Minister Benjamin Netanyahu had instructed key officials—including the Minister of Finance, the Governor of the Bank of Israel, and the CEO of the Prime Minister's Office—to hold a special discussion on the possible cancellation of the 200 shekel bill. Currently, the public holds approximately NIS 132 billion in cash, with 80% of that amount in 200 shekel notes.

Bank of Israel’s Initial Response

Earlier in the week, the Bank of Israel attempted to calm fears by stating that no professional or substantive reason had been presented for canceling the 200 shekel bill. However, this reassurance was not enough to quell public concerns, leading to today's stronger and more definitive statement, removing the issue from further discussion.