Israel’s Consumer Price Index (CPI) hit a 14-year high last month, with an annualized rate 5.2% higher than in the same period last year, the Central Bureau of Statistics (CBS) reported on Monday.

The CPI, a measure of inflation based on the changing cost of household goods, increased by an unexpected 1.1% from June to July 2022 alone, according to CBS data.

The overall inflation rate is well above the upper range of 3% previously predicted by the Bank of Israel.

The CBS on Monday also released its newest housing figures, showing that prices climbed 17.8% in May-June 2022 compared to the same period last year, the highest annualized increase in a decade.

The Bank of Israel will reportedly raise its benchmark interest rate by at least 0.5% to 1.75% in an effort to tamp down consumer spending and cool the real estate market.

Israel’s inflation rate remains lower than those of the United Kingdom (9.4%), United States (8.5%) and Germany (7.5%).

A recent survey by the Israel Democracy Institute found that 44% of Israelis will vote in the upcoming Nov. 1 elections for the political party they believe has the best economic plan for curbing the rising cost of living.

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