It promises to keep the shekel's market value within a band seven percentage points above or below a central rate.

ECONOMIST: Israel

On June 18th, despite Mr Meridor, Israel doubled the width of the band in which the shekel can trade against other currencies.

ECONOMIST: Exchange rates

The shekel, under an exchange-rate policy introduced in 1991, is rock hard so hard, in fact, that it is giving the government fits.

ECONOMIST: Israel

And that, of course, sucks in money from abroad, strengthening the shekel.

ECONOMIST: Israel

There is one big exception: the Israeli shekel is 42% overvalued.

ECONOMIST: The Economist offers some hot tips on exchange rates

The shekel's value is set against a basket of foreign currencies.

ECONOMIST: Israel

The government wants the shekel to depreciate against the basket by about 6% a year roughly the difference between Israeli inflation and that of its main trading partners.

ECONOMIST: Israel

Besides the Israeli shekel, the other main exception is the South Korean won which, as a result of currency appreciation, is now 8% overvalued against the dollar.

ECONOMIST: Big MacCurrencies | The

Winter coats are on loan with the hefty 65 shekel cost of admission, and the ice bar serves a full selection of liquor to provide a little liquid warmth.

BBC: A holy city made of ice