The Israeli shekel on Friday fell to its lowest value against the U.S. dollar in over two years, according to exchange rates issued by Israel’s central bank.

The shekel’s exchange rate against the dollar was set at 3.543 shekels per dollar, equal to the rate recorded on May 18, 2020.

On August 12, 2022, the exchange rate was set at 3.241 shekels per dollar. Since then, the shekel has been devalued by 9.32 percent in less than two months.

In mid-November 2021, the shekel was set at 3.074 shekels per dollar, hitting a 26-year record high in its value, Bank of Israel figures showed.

The weakening of the shekel against the dollar is largely attributed to sharp interest hikes in the United States, Gad Lior, an Israeli economy analyst, explained to reporters.

However, against the background of expectations for another significant increase in Israel’s basic interest rate on Monday, the shekel may strengthen again, he added.