| The business sector's outstanding debt increased |
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The total outstanding debt of the business sector increased in November by about NIS 3.5 billion (0.5 percent) to NIS 739 billion, mainly due to a depreciation of the shekel and the rise in the CPI. With regard to debt instruments, changes in different directions offset each other––net capital raised via tradable bonds in Israel and debt abroad were offset by net repayment of nontradable debt and bank debt. |
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Since the beginning of the year the business sector debt had declined by about NIS 4.5 billion (0.6 percent): bank debt was reduced by about NIS 15 billion, part of which was offset by an increase in nonbank debt. |
| Issues of tradable and nontradable bonds continue to increase |
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Business sector bond issuance in December totaled about NIS 3 billion, higher than the monthly average of NIS 2.2 billion since the beginning of the year. |
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In the whole of 2009 the business sector issued about NIS 26 billion of bonds, of which some NIS 19.5 billion were tradable on the Tel Aviv Stock Exchange (TASE). In the whole of 2008 the business sector issued a total of NIS 9.8 billion in bonds, of which NIS 6.1 billion were tradable. |
| The cost of the debt |
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The margin between interest on credit and that on deposits in the unindexed segment did not change significantly in November. |
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In November the downward trend in the spread between corporate bond yields (the Tel-Bond 60 index) and government bond yields continued, with a 0.07 percentage point decline to 2.63 percentage points. Since the beginning of 2009 the spread has contracted by 2.4 percentage points. |
