Tuesday, November 29, 2011

European bank pulls out of Israel after pressure from boycott campaign




European bank pulls out of Israel after pressure from boycott campaign







The French bank BNP Paribas has decided to pull out of its operations in Israel, after the bank was targeted by the international Boycott Divestment and Sanctions campaign, which aims to use economic pressure to get Israel to adhere to its obligations under international law.

Although the bank stated that its withdrawal from Israel was not due to the pressure campaign, but instead due to heavy losses sustained during the Greek financial crisis, Israeli officials and bankers have stated that they believe the bank gave in to pressure from European human rights groups to pull out of Israel.

PNB Paribas will close its offices and lay off sixty employees in Israel, and will end its financing of projects in the Jewish state.

The Governor of the Bank of Israel, Stanley Fischer, told reporters with the Israeli newspaper Ha�aretz that he had met with top executives from PNB Paribas several times, and had exchanged harsh words with them when they announced their decision to leave Israel.

The Bank of Israel is a private institution that prints currency for the Israeli government and regulates interest rates in Israel.

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