Israel considers scrapping 200 shekel bill September 21, 2024The 200 Israeli Shekel note (Flash90/Nati Shohat)Flash90/Nati ShohatIsrael considers scrapping 200 shekel billIsrael’s move is largely driven by its desire to combat black money transactions within the Arab sector. By Jewish Breaking NewsIsrael may be on the verge of eliminating its largest banknote as part of an ambitious plan to combat crime.Prime Minister Benjamin Netanyahu indicated this massive economic reform during a Thursday meeting of the Subcommittee on Advancing the Fight Against Crime in the Arab Sector.At the meeting, he reportedly directed the Finance Minister and the Governor of the Bank of Israel to evaluate the feasibility of cancelling the 200 shekel note.According to Arutz Sheva, a plan is being drafted by a team of nine economists that proposes gradually phasing out the note.It would begin with the next printing cycle, followed by a brief transition period allowing citizens to exchange their existing 200 shekels. Within a few years the bill will be eliminated entirely.Israel’s move is largely driven by its desire to combat black money transactions within the Arab sector.Like most money laundering schemes, these illicit financial dealings frequently rely on high-value banknotes for their convenience and anonymity.However, some financial experts are warning of massive blowback from phasing out the 200 shekel note.They argue that sophisticated criminal networks will simply adapt by shifting to foreign currencies or more opaque digital alternatives.Read Netanyahu: 'We don't need Hezbollah deal to reclaim the north'Meanwhile, small businesses, street vendors, and elderly individuals who rely on cash transactions will face financial exclusion.Furthermore, the costs of transitioning to a more cashless society, including investments in new payment infrastructure and public education, could be substantial. 200 shekelBenjamin NetanyahuFraud
