The global banking system is at the center of the crisis, and it is reflected in the advanced economies not only in sharp falls in prices of shares and private bonds, but also in shocks to the banking system, to the extent that more than few commercial banks and investment banks have actually collapsed. Our situation is different.
Israel's banking system is strong, and depositors can continue to have confidence in Israel's banks. The global financial crisis is not leaving Israel's banking system entirely unscathed, however, and its effects are being felt, among other things, in the area of risks confronting the economy and the banks.