Behind BOI chief Stanley Fischer's resignation

Mehdi Shakibayi: Stanley Fischer, a Jewish economist of American origin took the helm of Bank of Israel on May 1, 2005 and resigned from his post on Wednesday January 30, 2012 in a news conference. The resignation added to ambiguities over the future of Israeli economy and subsequently the future of the 1948-faked entity.

He met with the Zionist regime's Prime Minister Benjamin Netanyahu earlier Tuesday to inform him that he has decided to end his efforts to improve the ever-weakening Israeli economy after eight years of relentless efforts.

Fischer is known as the number two personality in the International Monetary Fund (IMF) in the 1990s. He has authored over 15 books in international economy and took the helm of the Israeli economy in 2005, five years after advent of the second Intifada (uprising) across the occupied Palestine, called the al-Aqsa Intifada.

Fischer had declared his goal as to have the Israeli economy pass through a looming crisis stirred by the Palestinian Intifada and the waves of martyrdom seeking operations.

Taking the financial reins, he maintained that in order to reach political, social and economic stability, Israel had to recognize the inalienable Palestinian rights and find a solution to their Intifada movement. Fischer argued that continued Palestinian Intifada may trigger a capital flight and subsequently usher in instability for the Israeli financial structure.

The banking veteran made the remarks upon arrival at Tel Aviv airport. He went on to say that the Palestinian intifada was behind many social and political disorders inside Israel and that if the regime's authorities expected him to do miracles for the economy, they would have had to address the Palestinian claims.

In Fischer's view, the lingering insecurity in the economic sector that had led to ever slumping gross domestic production and reverse immigration from Israel was among the side effects of the Palestinian martyr operations.

Eight years later and weeks ahead of the January 25 general elections in Israel, Fischer said any next government to take the reins in Israel would have to cut in spending and increase the taxes as steps for partial curing of the crisis. Fischer dodged cameras until the Tuesday move that sent shockwaves across Israel and triggered ripples in world markets.
The IMF number two stepped aside amid growing social discontent that has gripped Israel since two years ago.

The lingering situation after eight years of Fischer's services may further underline what he maintained upon taking the helm albeit there is an extensive campaign in place to relate the crisis to flawed government policies as well as Israeli tense relations with the US government. His comments must be revisited then though even the Israeli premier Benjamin Netanyahu's policies could be attributed to the Palestinian Intifada and its massive impact on the Israeli community.

Fischer wrapped up work amid admittance by the Israeli authorities that a third Palestinian Intifada was in sight and the regional support for the Palestinian cause has reached record highs.